Hims & Hers is scrapping its plan for a knockoff Wegovy weight-loss pill. Here's why

Core Viewpoint - Hims & Hers has abandoned its plan to offer a compounded version of the weight-loss drug Wegovy, following threats from the FDA and legal action from Novo Nordisk, the original manufacturer of Wegovy [1][1][1] Company Actions - Hims & Hers announced the decision to drop the compounded semaglutide pill just two days after its introduction, citing constructive conversations with industry stakeholders [1][1] - The company had initially planned to sell its version of Wegovy at a significantly lower price of $49 for the first month and $99 thereafter, compared to Novo's price of $149 per month [1][1][1] Regulatory Environment - The FDA indicated plans to restrict access to the active ingredients necessary for compounding popular GLP-1 drugs, which include Wegovy, Ozempic, and Zepbound [1][1] - The FDA has stated that GLP-1 drugs are no longer in shortage as of 2024, which is expected to end the practice of compounding these medications [1][1] Market Context - Hims & Hers, along with other companies, entered the multibillion-dollar market for obesity medications, driven by the high demand for GLP-1 drugs [1][1] - The compounded version of the semaglutide pill that Hims planned to sell was not FDA-approved and had not undergone trials to prove its effectiveness [1][1]