Lemonaid Health Now Offering GLP-1 Medication Through Weight Loss Membership Program

Rhea-AI Summary

Lemonaid Health, a subsidiary of 23andMe (Nasdaq: ME), is now offering GLP-1 medications including Ozempic®, Wegovy®, and compounded semaglutide through a weight loss program on its telehealth platform. The program provides a $49 monthly membership with access to clinician consultations, prescriptions, and ongoing support. Medication costs start at $299 per month for compounded semaglutide.

Concurrently, 23andMe launched a study to investigate the genetic factors influencing GLP-1 effectiveness and side effects. The company aims to uncover insights for personalized weight loss treatments and preventive health strategies. GLP-1 medications have shown potential benefits beyond weight loss, including treatment of type 2 diabetes, heart disease, and possibly Parkinson's, arthritis, Alzheimer's, and sleep apnea.

Positive

• Expansion of Lemonaid Health's services to include GLP-1 medications for weight loss
• Potential for increased revenue through new subscription-based weight loss program
• Launch of genetic study by 23andMe to personalize weight loss treatments
• Possible applications of GLP-1 medications for other chronic conditions, expanding market potential

Negative

• availability of weight loss services to select states initially
• Potential competition in the increasingly crowded telemedicine and weight loss markets

Insights

Financial Analyst

Lemonaid Health's introduction of GLP-1 medications through a subscription model represents a strategic move into the lucrative weight loss market. With a $49 monthly subscription and medication costs starting at $299 per month, this could generate significant recurring revenue for 23andMe (Nasdaq: ME). The potential for HSA and FSA eligibility may drive adoption among health-conscious consumers. However, investors should note that the rollout is to select states initially, which may temper immediate financial impact. The company's expansion into weight management aligns with broader health trends and could diversify revenue streams beyond genetic testing. This move may positively influence 23andMe's stock performance, especially if the program scales successfully nationwide.

Medical Research Analyst

The launch of 23andMe's study on GLP-1 effectiveness and side effects based on genetics is a significant development in personalized medicine. This research could lead to more targeted and efficient use of these medications, potentially reducing healthcare costs and improving patient outcomes. The study's focus on weight regain predictors is particularly valuable, addressing a critical issue in long-term weight management. If successful, this research could position 23andMe as a leader in pharmacogenomics for weight loss, potentially leading to new revenue streams through personalized treatment recommendations. The company's unique position with its genetic database gives it a competitive edge in this research, which could translate to increased value for both patients and shareholders.

Market Research Analyst

The weight loss market is experiencing rapid growth, with GLP-1 medications at the forefront. Lemonaid Health's entry with a telemedicine-based subscription model is well-timed to capitalize on this trend. The 15% average weight loss cited could attract a substantial customer base. However, competition in this space is intensifying and Lemonaid will need to differentiate itself. The potential expansion of GLP-1 applications to conditions like Parkinson's and Alzheimer's could significantly expand the market opportunity. Investors should monitor the speed and success of the state-by-state rollout, as well as customer retention rates, which will be important for long-term success. The integration of genetic insights from 23andMe's study could provide a unique selling proposition, potentially driving both the weight loss program and core genetic testing business.

In conjunction with this new offering, 23andMe, Lemonaid Health’s parent company, recently launched study focused on the role genetics may play in effectiveness and side effects of GLP-1s

SUNNYVALE, Calif., Aug. 28, 2024 (GLOBE NEWSWIRE) -- Lemonaid Health, Inc., a subsidiary of 23andMe Holding Co., (Nasdaq: ME), and a leading telemedicine provider, is now offering Ozempic®, Wegovy® and compounded semaglutide through a weight loss program on its telehealth platform, providing consumers with access to affordable weight management care through a convenient subscription-based model.

If prescribed, Lemonaid Health patients will now have access to once-weekly injectable GLP-1 medication offerings through an accessible monthly membership subscription that includes clinician consultations (via video or phone), a GLP-1 prescription (additional cost), ongoing care and support, as well as an annual lab order (as needed).

“We are excited to be helping our customers get access to potentially life changing weight management programs and GLP-1 medication through Lemonaid Health and 23andMe,” said Anne Wojcicki, CEO and Co-Founder of 23andMe. “We are focused on helping customers live healthier, longer lives and believe weight management is an important pillar. We also remain enthusiastic as we see encouraging research come out about additional applications for GLP-1s and ways they may be able to prevent or mitigate disease.”

After an initial consultation with a clinician to confirm eligibility and medication preference, the membership is $49 per month with no long-term commitment required, and transparent medication pricing that doesn’t change based on dosage amount. Medication is charged separately starting at $299 a month for compounded semaglutide. Lemonaid provides fast shipping directly to patients, and purchases may be eligible for payment via HSA and FSA programs.

Lemonaid Health provides consistent and reliable quality care to patients through ongoing access to licensed medical providers, accessible fully online across the United States. The Company’s compounded semaglutide medication offering is made from the same active ingredient as Ozempic® and Wegovy®, and prepared by a state-licensed, FDA-inspected 503(b) compounding pharmacy that has undergone extensive quality checks.

Sometimes weight is beyond one’s control and is determined by biology, and GLP-1s are one proven tool that can be used to help kick-start patients’ journeys to leading healthier lives. Although results and timelines can vary, on average, patients on GLP-1 medication can lose up to 15% of their body weight in a year¹. Along with aiding in weight loss, studies have shown that the drugs can be beneficial in the treatment² and prevention³ of other chronic conditions such as type 2 diabetes and heart disease. There is early evidence that GLP-1s may also help with Parkinson’s disease⁴, arthritis⁵, Alzheimer’s⁶ and sleep apnea⁷.

As previously announced earlier this month, 23andMe kicked off a ground-breaking, large-scale study to investigate the genetics behind why GLP-1 weight loss drugs work better for some people than others, as well as if they play a role in why certain patients have more side effects. The longitudinal study also aims to identify predictors of whether someone regains weight upon stopping treatment. The Company’s goal in exploring this field further is to uncover key insights applicable to future personalized weight loss treatment options and preventive health strategies for 23andMe customers.

Lemonaid Health’s weight loss services are currently available in select states, but will be rolled out to additional locations on an ongoing basis. To view more details and confirm eligibility, please visit https://www.lemonaidhealth.com/services/weight-loss.

Visit the following links for important safety information on Ozempic®, Wegovy® and compounded semaglutide.

Ozempic® & Wegovy® are registered trademarks of Novo Nordisk A/S. Novo Nordisk is a registered trademark of Novo Nordisk A/S.

For media inquiries and images please write to: press@23andMe.com.

About Lemonaid Health
Lemonaid Health, part of the 23andMe family, provides online telemedicine services in all 50 states and D.C. through its affiliated medical groups (subject to local laws). Prescriptions require completion of an independent medical consultation with a licensed healthcare provider through the Lemonaid online platform. Medications are only available if prescribed. Visit www.lemonaidhealth.com to learn more.

About 23andMe
23andMe is a genetics-led consumer healthcare and biopharmaceutical company empowering a healthier future. For more information, please visit www.23andMe.com.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included or incorporated in this press release, including statements regarding 23andMe’s strategy, are forward-looking statements. The words "believes," "anticipates," "estimates," "plans," "expects," "intends," "may," "could," "should," "potential," "likely," "projects," “predicts,” "continue," "will," “schedule,” and "would" or, in each case, their negative or other variations or comparable terminology, are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are predictions based on 23andMe’s current expectations and projections about future events and various assumptions. 23andMe cannot guarantee that it will actually achieve the plans, intentions, or expectations disclosed in its forward-looking statements and you should not place undue reliance on 23andMe’s forward-looking statements. These forward-looking statements involve a number of risks, uncertainties (many of which are beyond the control of 23andMe), or other assumptions that may cause actual results or performance to differ materially from those expressed or implied by these forward-looking statements. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company’s filings with the Securities and Exchange Commission, including under Item 1A, “Risk Factors” in the Company’s most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, and as revised and updated by our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The statements made herein are made as of the date of this press release and, except as may be required by law, 23andMe undertakes no obligation to update them, whether as a result of new information, developments, or otherwise.

Contacts
Investor Relations Contact: investors@23andMe.com
Media Contact: press@23andMe.com

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¹ https://www.nejm.org/doi/full/10.1056/NEJMoa2032183
² https://www.fda.gov/news-events/press-announcements/fda-approves-first-oral-glp-1-treatment-type-2-diabetes
³ https://www.fda.gov/news-events/press-announcements/fda-approves-first-treatment-reduce-risk-serious-heart-problems-specifically-adults-obesity-or
⁴ https://www.nejm.org/doi/full/10.1056/NEJMoa2312323
⁵ https://pubmed.ncbi.nlm.nih.gov/36870080/
⁶ https://jamanetwork.com/journals/jama/article-abstract/2817996
⁷ https://www.nejm.org/doi/full/10.1056/NEJMoa2404881

FAQ

What GLP-1 medications is Lemonaid Health offering for weight loss?

Lemonaid Health is offering Ozempic®, Wegovy®, and compounded semaglutide through its weight loss program on its telehealth platform.

How much does Lemonaid Health's weight loss membership program cost?

The membership is $49 per month with no long-term commitment. Medication costs are separate, starting at $299 a month for compounded semaglutide.

What is 23andMe (ME) studying regarding GLP-1 medications?

23andMe launched a study to investigate the genetics behind why GLP-1 weight loss drugs work better for some people than others, and if genetics play a role in side effects and weight regain after stopping treatment.

What potential benefits of GLP-1 medications beyond weight loss are mentioned?

GLP-1 medications have shown potential benefits in treating type 2 diabetes, heart disease, and possibly Parkinson's disease, arthritis, Alzheimer's, and sleep apnea.