Novo Nordisk is teaming up with major telehealth companies to sell its blockbuster weight-loss drug Wegovy directly to U.S. consumers at a steep discount through its new direct-to-consumer pharmacy platform. For many, the monthly cost of Wegovy will now be more affordable than the average monthly payment for a new vehicle.
Bloomberg reported that NovoCare will begin offering Wegovy through telehealth firms Hims & Hers Health, LifeMD, and Ro. The weight-loss drug will be offered as subscription models on Hims and Ro. Hims will sell Wegovy for $599 monthly, including a membership offering clinical and nutritional support. Ro will charge $499 monthly for Wegovy, plus a $145 membership fee after the first month. Both of these monthly prices are being offered at more than 50% of the drug’s retail price in the U.S. market.
“The strategy comes as rival Eli Lilly & Co. has teamed up with telehealth firms like Ro to distribute lower-cost vials of its own obesity medication, Zepbound. Lilly doesn’t have a similar partnership with Hims, which sells Zepbound independently at a premium compared to Lilly’s discounted offering,” Bloomberg noted.
We noted in early March that Novo was preparing for a direct-to-consumer launch to take on Lilly’s Zepbound.
Andrew Dudum, CEO and founder of Hims, said Novo’s new partnership is “delivering the future of healthcare” by offering Americans affordable, breakthrough medicine that improves long-term health outcomes.
“Beyond this initial collaboration, the companies are developing a roadmap that combines Novo Nordisk’s innovative medications with Hims’ ability to deliver access to quality care at scale, with the goal of improving long-term outcomes for more people living with chronic disease, and doing that more affordably,” said Dave Moore, Novo’s executive vice president for U.S. operations.
Last year, elevated demand for Wegovy and Zepbound led telehealth companies — including Hims and Ro — to sell compounded versions of these wonder drugs at steep discounts.
Moore told Bloomberg that more affordable pricing and increased partnerships are a “change” for Wegovy and that “this is different than where we have been in the last couple of years.”
In markets, shares of Hims in New York surged as much as 30% in premarket trading. On the year, shares are up nearly 18% as of Monday’s close.
The short interest in Hims recently touched 34.33% of the float, or about 61 million shares short.
Loading…
