On April 29, 2025, Hims announced a long-term collaboration with Novo Nordisk, starting with the immediate sale of “a bundled offering of Novo Nordisk’s FDA-approved Wegovy on the Hims & Hers platform.”
On June 23, 2025, before the market opened, Novo Nordisk issued a press release announcing that it was terminating its partnership with Hims, “based on Hims & Hers deceptive promotion and selling of illegitimate, knockoff versions of Wegovy that put patient safety at risk.” The press release stated that Hims “has failed to adhere to the law which prohibits mass sales of compounded drugs under the false guise of ‘personalization.’” The press release further stated “[b]ased on Novo Nordisk’s investigation, the ‘semaglutide’ active pharmaceutical ingredients that are in the knock-off drugs sold by telehealth entities and compounding pharmacies are manufactured by foreign suppliers in China” which “FDA has never authorized or approved” and which may contain “unsafe and illicit foreign ingredients.”
On this news, the company’s share price fell $22.24, or 34.6%, to close at $41.98 per share on June 23, 2025, on unusually heavy trading volume.
The complaint filed in this class action alleges that throughout the class period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Hims was engaged in the “deceptive promotion and selling of illegitimate, knockoff versions of Wegovy that put patient safety at risk;” (2) that, as a result, there was a substantial risk that the company’s collaboration with Novo Nordisk would be terminated; and (3) that, as a result of the foregoing, Defendants’ positive statements about the company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On November 21, 2025, the Court appointed Shuo-Hsien Wang as Lead Plaintiff and Saxena White P.A. as Lead Counsel. On January 29, 2026, Lead Plaintiff filed the amended consolidated complaint. Defendants’ response to the amended complaint is due by March 19, 2026.
