Hims & Hers, a telehealth platform catering to millennials, announced the addition of Kåre Schultz, a former executive at Novo Nordisk, to its board of directors on Monday.
Schultz brings over 25 years of experience from the Danish pharmaceutical company, where he held several positions including president and chief operating officer. He currently serves as CEO of Teva Pharmaceutical.
In a press release, Schultz expressed his enthusiasm for Hims & Hers, stating, “This company 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 rose by 3% during Monday morning trading, marking a 125% increase since the start of the year.
The news comes shortly after Hims & Hers began offering a compounded version of semaglutide, the active ingredient found in popular diabetes and weight loss medications Ozempic and Wegovy, both manufactured by Novo Nordisk. Hims & Hers is selling a month’s supply of this weight loss drug for $199, significantly lower than Ozempic’s approximate $1,000 list price and Wegovy’s $1,349 price.
The shortage of these high-demand brand-name drugs has prompted several telehealth services to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications in short supply. Compounding involves customizing an approved drug by licensed pharmacists or physicians to cater to individual patient needs.
While the FDA generally prohibits compounding drugs that are merely replicas of commercially available medications, medications classified as in short supply are not deemed commercially available.
Schultz indicated to Bloomberg on Monday that Hims & Hers has a promising future in selling compounded semaglutide. He reassured that even after shortages are resolved, there will still be a need for individualized prescriptions, alleviating concerns about the future of compounded semaglutide in pharmacies.