Hims & Hers, a telehealth platform aimed at millennials, announced on Monday the addition of Kåre Schultz, a former longtime executive at Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at Novo Nordisk, renowned for its diabetes and obesity treatments, where he held various positions, including president and chief operating officer. He currently serves as the CEO of Teva Pharmaceutical.
“I believe Hims & Hers is poised to revolutionize the healthcare industry,” Schultz stated in a press release. “Throughout my extensive career in pharmaceuticals, this is the first company I’ve seen effectively using modern tools to dismantle barriers and transform how individuals access the healthcare solutions needed to lead fulfilling lives. I am excited to join this endeavor.”
Shares of Hims & Hers rose 3% during morning trading on Monday, with a remarkable 125% increase since the start of the year.
This announcement follows Hims & Hers’ recent launch of compounded semaglutide, the active ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, which are produced by Novo Nordisk.
The company offers a month’s supply of the weight loss medication for $199, significantly less than Ozempic’s nearly $1,000 price and Wegovy’s $1,349 price point.
The demand for these high-priced brand-name drugs has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded medications in shortage.
Compounding involves customizing an approved drug by a licensed pharmacist or physician to meet individual patient needs. Generally, the Food, Drug, and Cosmetic Act restricts the compounding of drugs that are simply copies of commercially available products. However, under current regulations, medications considered in shortage are not classified by the U.S. Food and Drug Administration (FDA) as commercially available.
In an interview with Bloomberg on Monday, Schultz expressed confidence in the future of selling compounded semaglutide. He noted that even after shortages are resolved, there will likely still be situations where patients require personalized prescriptions.