Hims & Hers, a telehealth platform targeting millennials, announced on Monday the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, recognized for its diabetes and obesity treatments. He has held various positions, including president and chief operating officer, and currently serves as the CEO of Teva Pharmaceutical.
In a press release, Schultz expressed enthusiasm about 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’s trading session, with an overall increase of 125% since the start of the year.
The development 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 manufactured by Novo Nordisk. The telehealth service is selling a month’s supply of the weight loss medication for $199, significantly lower than Ozempic’s list price of nearly $1,000 and Wegovy’s $1,349 price.
The ongoing scarcity of these high-demand and costly brand-name drugs has led several telehealth platforms to exploit a provision in the Food, Drug, and Cosmetic Act that permits the sale of compounded versions of medications that are in short supply.
Compounding involves tailoring an approved medication by a state-licensed pharmacist or physician to address the specific needs of a patient. Generally, the Food, Drug, and Cosmetic Act forbids compounding drugs that simply replicate commercially available ones. However, the U.S. Food and Drug Administration (FDA) does not classify medications that are in shortage as commercially available.
Schultz indicated to Bloomberg that Hims & Hers sees a “long future” in marketing compounded semaglutide. When asked if pharmacies would still be able to produce compounded semaglutide after the shortages end, Schultz expressed confidence, noting that there will always be situations where patients require personalized prescriptions.