Business
In this photo illustration, the Eli Lilly and Company logo...
(Thomas Fuller/Getty Images)

Compounding pharmacy says Eli Lilly’s cease and desist letter means “nothing”

Some compounding pharmacies have kept selling GLP-1s that they say are “personalized” or “tailored” for patients’ needs.

J. Edward Moreno

OrderlyMeds, an online pharmacy that sells compounded versions of Eli Lilly’s blockbuster weight-loss drug Zepbound, said the drugmaker’s cease and desist letter means “nothing.”

The Food and Drug Administration declared in December that tirzepatide, the active ingredient in Zepbound, is no longer in a shortage, meaning pharmacies like OrderlyMeds that were selling knockoff versions of the drug can’t sell exact copies. But OrderlyMeds kept selling compounded tirzepatide.

Lilly told them to please stop doing that or we might sue you, otherwise known as a cease and desist letter. OrderlyMeds responded on Friday saying the letter “only reinforces and reinvigorates OrderlyMeds’ mission to provide patients with tailored healthcare solutions, access, and choice.”

Screenshot of OrderlyMeds' website.
Screenshot of OrderlyMeds’ website.

“Rest assured that OrderlyMeds will defend itself and our patients against these attacks that aimed solely at driving shareholder value for Big Pharma, not the individualized needs of you, the patient,” the company said in a statement.

Now that tirzepatide is not in a shortage, compounding pharmacies can only sell it if it’s adjusted for a patient’s needs — for instance, to remove a nonactive ingredient a patient is allergic to or to produce a dose that the patent-holding drugmaker doesn’t. OrderlyMeds says that what it sells is “individualized” and “personalized.”

“So, what does this mean for our patients?” it said in its response to Lilly. “Nothing.”

A Lilly spokesperson told Sherwood News that it will “continue to take action to stop these illegal actors and urgently call on regulators and law enforcement to do the same.”

“The FDA and a federal court have both made clear that compounders ‘must cease production’ of compounded tirzepatide knockoffs, and anyone continuing to sell mass compounded tirzepatide, including by referring to it as ‘personalized,’ ‘tailored,’ or something similar, is breaking the law and deceiving patients,” the spokesperson said.

The argument that compounding pharmacies can continue selling “personalized” versions of lucrative weight-loss drugs is one that’s also being made by Hims & Hers, which has a much larger patient base than OrderlyMeds. Hims sells compounded semaglutide, the active ingredient in Novo Nordisk’s Ozempic and Wegovy, not tirzepatide.

The shortage of semaglutide was declared over in February. According to the Alliance for Pharmacy Compounding, an industry trade group, Novo sent cease and desist letters to pharmacies immediately after the end of the shortage was declared, despite the FDA giving them a 60-day off-ramp period.

There appears to be a legal challenge brewing between drugmakers and compounding pharmacies, which may be able to sue for patent infringement. That type of litigation is risky because if a judge were to rule against the drugmakers, it could risk their patent and the billions they make selling those drugs.

The FDA could step in and decide that these pharmacies aren’t compliant and need to stop. The FDA is now run by Marty Makary, who used to work at Sesame, a telehealth company that sold compounded semaglutide. Also, things seem pretty hectic over at the FDA at the moment.

More Business

See all Business
business

Used car prices dip in April but remain at 2023 levels as gas prices surge

Used car prices ticked down in April, the first drop in 2026, according to fresh data from Cox Automotive.

Cox’s Manheim Used Vehicle Value Index, which tracks wholesale prices, dipped 1.6% in April from March, but remains around highs not seen since 2023 as shoppers react to surging gas prices.

“Affordability remains front and center, and that’s driving some increased demand for older vehicles... as well as changing the calculus for consumers shopping for EVs,” said Cox’s chief economist, Jeremy Robb.

As reported in March, used car retailers including CarMax have told Sherwood News that gas prices are driving more shoppers to look toward EVs. Cox’s EV index is up 7.2% from April 2025, compared to a 1.1% hike for its non-EV index.

business

Xbox CEO overhauls leadership team with Microsoft AI execs amid sales declines

Microsoft is continuing to shake up Xbox, with gaming chief Asha Sharma (who took over the division suddenly in February) announcing an executive overhaul.

According to an internal memo seen by CNBC, Sharma is bringing four leaders from her former CoreAI group into the Xbox fold, as they have “consumer and technical expertise [Xbox does] not yet have.”

“Right now, it is too hard to ship impact quickly. We spend too much time inward instead of with the community, and we lack the depth we need in some of the fundamentals,” Sharma said in the memo.

Aside from the CoreAI team, David Schloss, a former Instacart growth exec, will take over the subscription and cloud business.

Following Microsoft’s earnings report last week, in which Xbox console sales fell 33% from last year, Sharma said the division had work to do. The company forecast more sales declines for Game Pass and consoles in the current quarter.

“Right now, it is too hard to ship impact quickly. We spend too much time inward instead of with the community, and we lack the depth we need in some of the fundamentals,” Sharma said in the memo.

Aside from the CoreAI team, David Schloss, a former Instacart growth exec, will take over the subscription and cloud business.

Following Microsoft’s earnings report last week, in which Xbox console sales fell 33% from last year, Sharma said the division had work to do. The company forecast more sales declines for Game Pass and consoles in the current quarter.

business

Ford’s April EV sales climb from March but make up less than 2% of its total sales this year

Ford sold 22% more EVs in April than in March, but the category makes up just 1.7% of the automaker’s total 2026 sales through April. At the same point last year, EVs were about 4% of sales.

The company released its April sales figures Monday morning, with EVs climbing sequentially but still down nearly 25% from last year. Its more popular hybrids were down 5% from March and about 33% from last year.

Overall, Ford posted a 14.4% drop in sales in April from last year. SUVs were down more than 16%, trucks fell more than 14%, and cars (the company doesn’t sell many) climbed 18%.

When it reported its Q1 earnings last week, Ford boosted its full-year guidance for adjusted earnings before interest and taxes to between $8.5 billion and $10.5 billion.

business

Amazon opens up its supply chain to everyone

Today Amazon unveiled Supply Chain Services, a new business that turns the vast warehousing and logistics network behind its e-commerce empire into a product for other companies — an AWS-style move applied to the physical world.

As Amazon put it: “Any business can now move, store, and deliver everything from raw materials to finished products using the same supply chain that supports Amazon and its independent selling partners.”

That could make Amazon a behind-the-scenes operator for an even wider swath of commerce, expanding its reach beyond its marketplace and helping it capture more of the $1.3 trillion third-party logistics market.

Shares of traditional shipping companies UPS and FedEx fell after the announcement.

Amazon listed Procter & Gamble, 3M, and American Eagle among the logistics service’s first customers.

That could make Amazon a behind-the-scenes operator for an even wider swath of commerce, expanding its reach beyond its marketplace and helping it capture more of the $1.3 trillion third-party logistics market.

Shares of traditional shipping companies UPS and FedEx fell after the announcement.

Amazon listed Procter & Gamble, 3M, and American Eagle among the logistics service’s first customers.

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, Robinhood Derivatives, LLC, or Robinhood Money, LLC. Futures and event contracts are offered through Robinhood Derivatives, LLC.