The telehealth platform Hims & Hers announced on Monday the appointment of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors. Schultz has spent over 25 years at the Danish pharmaceutical company, where he held various positions, including president and chief operating officer. Currently, he serves as the CEO of Teva Pharmaceutical.
Schultz expressed enthusiasm about joining Hims & Hers, 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 shares rose by 3% during Monday morning trading, bringing the total increase to 125% since the start of the year.
The news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient in well-known diabetes and weight loss medications Ozempic and Wegovy, both created by Novo Nordisk. The company is pricing a month’s supply of its version at $199, significantly lower than Ozempic’s near $1,000 price and Wegovy’s $1,349.
The limited availability of these high-demand 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 versions of medications facing shortages. Compounding involves customizing an approved drug by a licensed pharmacist or physician based on the specific needs of a patient.
While the Act generally prohibits compounding drugs that replicate commercially available medications, products that are in short supply are classified by the U.S. Food and Drug Administration (FDA) as not commercially available.
In a statement to Bloomberg, Schultz affirmed that the company envisions a “long future” in selling compounded semaglutide. He indicated that he is not concerned about the availability of compounded semaglutide once shortages are resolved, as there will continue to be situations requiring individualized prescriptions.