STORY: Novo Nordisk said Monday it has agreed to sell its blockbuster Wegovy and Ozempic drugs through U.S. telehealth company Hims & Hers' platform.
The deal puts an end to a dispute that erupted last month, when Novo sued Hims over a $49 compounded alternative to its Wegovy weight-loss pill.
Shares of Hims rose as much as 49% in morning trading.
Novo is grappling with telehealth firms offering cheaper compounded copycat versions of its obesity treatments, which are not FDA-approved.
Under the agreement, Hims will offer FDA-approved Ozempic and Wegovy injectables, as well as the Wegovy pill, to U.S. consumers on its platform with no increase in price.
In return, Hims will no longer advertise compounded GLP-1 drugs, though it will continue offering them when providers deem it clinically necessary.
To boost sales, Novo has cut prices for its weight-loss drugs from about $1,000 per month to under $300 on its websites, as it faces stiff competition from Eli Lilly.
Novo said the Wegovy pill had generated more than 600,000 prescriptions since its launch two months ago, with telehealth partnerships boosting demand.
