Hims & Hers, a telehealth platform targeting millennials, announced on Monday the appointment 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, 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 to transform the healthcare industry, noting that it utilizes modern technology to enhance access to essential health solutions.
Following the announcement, Hims & Hers’ stock rose by 3% during morning trading and has seen a 125% increase since the start of the year.
This 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, manufactured by Novo Nordisk. The company is providing a month’s supply of this weight loss drug for $199, significantly lower than Ozempic’s nearly $1,000 list price and Wegovy’s $1,349.
The shortage of these sought-after medications has prompted several telehealth companies to explore compounded versions under a provision of the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications that are in scarcity.
Compounding involves customizing an approved drug by a licensed pharmacist or physician to fit an individual patient’s needs. While the act typically prohibits the compounding of drugs that mimic commercially available medications, those in shortage are not viewed as commercially accessible by the U.S. Food and Drug Administration (FDA).
Schultz stated in an interview with Bloomberg that he sees a “long future” for Hims & Hers in the sale of compounded semaglutide, emphasizing that there will continue to be instances where patients require tailored prescriptions even after shortages are resolved.