Hims & Hers, a telehealth platform targeting millennials, has appointed Kåre Schultz, a former executive at Novo Nordisk, to its board of directors, the company announced on Monday.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, recognized 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.
In a press release, Schultz expressed enthusiasm about Hims & Hers’ potential impact on the healthcare sector, stating, “This is the first company I have seen that is leveraging today’s modern tools to truly break down barriers and change the status quo of how people access the health solutions they need to live their fullest lives. I’m thrilled to be a part of this journey.”
Following the announcement, Hims & Hers’ stock saw a 3% increase during morning trading, with shares up 125% year-to-date.
This news follows Hims & Hers’ recent launch of a compounded semaglutide product, the active ingredient in popular diabetes and weight loss medications Ozempic and Wegovy, which are manufactured by Novo Nordisk. Hims & Hers is offering a month’s supply of the weight loss medication for $199, significantly less than the nearly $1,000 price of Ozempic and $1,349 for Wegovy.
Due to limited availability of these high-demand brand-name drugs, several telehealth platforms have utilized a provision of the Food, Drug, and Cosmetic Act that permits the sale of compounded drug versions when supply is constrained. Compounding involves customizing an FDA-approved medication by a licensed pharmacist or physician to suit individual patient needs.
Under normal circumstances, the act prohibits the compounding of drugs that are merely copies of already available medications. However, the U.S. Food and Drug Administration (FDA) does not classify drugs in shortage as commercially available.
Schultz mentioned to Bloomberg that Hims & Hers has a promising future in offering compounded semaglutide. When questioned about the future of pharmacies potentially continuing to make compounded semaglutide after shortages are resolved, Schultz stated he was unconcerned, noting that there would still be instances where patients require personalized prescriptions.