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Novo Nordisk ends Hims & Hers collaboration over Wegovy weight loss drug
- 6/23/2025
COPENHAGEN (Reuters) -Drugmaker Novo Nordisk said on Monday it would halt its Wegovy weight-loss drug agreement with U.S. telehealth company Hims & Hers Health, pushing Hims shares down 31% in morning trading.
The two companies had announced a collaboration in April for Hims & Hers to sell Novo's Wegovy through a bundled offering on the telehealth company's platform. The end of the collaboration means Hims will no longer be able to sell branded Wegovy drugs.
Novo said that Hims & Hers' decision to continue supplying doses of compounded semaglutide - the active ingredient in Wegovy - was not in accordance with the law because the drug was no longer in shortage.
The U.S. Food and Drug Administration had allowed compounded versions made by pharmacies during the drug's shortage.
Earlier this month, Hims said that it would continue selling "personalized" doses of semaglutide, starting at around $165 a month.
Hims has said personalized doses are allowed for patients who need different doses for clinical reasons such as limiting side effects.
Hims & Hers shares were trading at $44.55 on Monday.
Hims also sells liraglutide, a generic version of another older Novo diabetes drug that causes weight loss, as well as Eli Lilly's rival Zepbound.
Wall Street analysts have questioned whether Hims' offerings actually qualify as "personalized" and say it is unclear if Novo, which has said mass production of copies is breaking the law, will allow it.
Hims & Hers was not immediately available for a comment.
A U.S. federal judge on Friday rejected a bid by compounding pharmacies to allow them to continue making copies of Novo Nordisk's weight-loss drugs Ozempic and Wegovy, upholding the U.S. Food and Drug Administration's decision to remove the drugs' active ingredient, semaglutide, from the shortage list.
"Efforts will continue to make authentic, FDA-approved Wegovy directly available through NovoCare Pharmacy to select telehealth organizations that share our commitment to safe and effective medical treatment for patients," Novo said.
Novo's share price fell following the announcement, extending an earlier decline to trade down 6.5% by 1315 GMT. Shares of Hims & Hers fell 22% to $50.02 in U.S. premarket hours.
(Reporting by Louise Breusch Rasmussen, Bhanvi Satija and Amina Niasse; Editing by Terje Solsvik, Catherine Evans and Aidan Lewis)