The telehealth platform Hims & Hers, which primarily targets millennials, announced on Monday that Kåre Schultz, a former executive at Novo Nordisk, has joined its board of directors.
Schultz has an extensive background, having worked for over 25 years at the Danish pharmaceutical company, renowned for its diabetes and obesity treatment products. He has held various positions, including president and chief operating officer, and is currently the CEO of Teva Pharmaceutical.
In a press release, Schultz praised Hims & Hers for its innovative approach to healthcare, stating, “In my long career in the pharmaceutical industry, 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.”
On the same day, Hims & Hers experienced a 3% increase in stock during morning trading, with shares rising 125% since the start of the year.
This announcement follows Hims & Hers’ recent introduction of a compounded version of semaglutide, the active ingredient in the widely used diabetes and weight loss medications Ozempic and Wegovy, both produced by Novo Nordisk. The company offers a month’s supply of the weight loss medication for $199, significantly cheaper than the nearly $1,000 price for Ozempic and the $1,349 cost of Wegovy.
The limited availability of these expensive brand-name medications has prompted several telehealth services to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded versions of drugs that are in shortage. Compounding involves customizing an approved medication by a licensed pharmacist or physician to address the unique needs of a specific patient.
Normally, the Food, Drug, and Cosmetic Act restricts the compounding of medications that are merely replicas of commercially available drugs. However, the FDA does not classify drugs in shortage as commercially available.
In comments to Bloomberg, Schultz expressed confidence in the company’s future in offering compounded semaglutide. He also indicated that he was not concerned about pharmacies’ ability to produce compounded semaglutide once shortages are resolved, as there will still be situations requiring tailored prescriptions for patients.