Hims & Hers, a telehealth platform popular among millennials, announced on Monday the addition of Kåre Schultz, a veteran executive from Novo Nordisk, to its board of directors.
Schultz has over 25 years of experience at the Danish pharmaceutical company, which specializes in diabetes and obesity treatments, and has held various senior roles, including president and chief operating officer. He is currently the 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 shares rose by 3% during Monday’s trading session, reflecting an impressive increase of 125% since the start of the year.
This development comes shortly after Hims & Hers introduced a compounded version of semaglutide, the active ingredient in popular weight loss and diabetes treatments Ozempic and Wegovy, which are produced by Novo Nordisk. Hims & Hers is offering a month’s supply of the compounded medication for $199, significantly lower than the nearly $1,000 price for Ozempic and $1,349 for Wegovy.
The ongoing shortage of these sought-after brand-name drugs has led several telehealth platforms to utilize a provision in the Food, Drug, and Cosmetic Act, which permits the sale of compounded medications that are in shortage.
Compounding involves a licensed pharmacist or physician customizing an approved drug to meet a patient’s specific needs. While the Food, Drug, and Cosmetic Act typically prohibits the compounding of drugs that are merely replicas of commercially available medications, the FDA does not consider drugs in shortage as commercially available.
Schultz indicated to Bloomberg on Monday that Hims & Hers foresees a “long future” in the market for compounded semaglutide. When questioned about the future availability of compounded semaglutide after the shortages resolve, Schultz noted that he remained untroubled, as individual prescriptions may still be necessary for certain patients.