Packaged like a Glossier moisturizer... actually a hair loss ointment. Hims is an online health company that ships erectile dysfunction meds and hair loss supplements. Except they're packaged so minimalistically and with so much Millennial pink that they look more like Sephora products. It also has a "Hers" brand — think BC and biotin gummies. Now:
- Hims is going public via SPAC. That's a company that goes public for the sole purpose of one day acquiring an actual company (mission accomplished).
- The deal values Hims at $1.6B, and the merger will yield it a fresh $280M in cash to continue shipping its Millennial medicine.
Just what the doctor prescribed... One SPAC-quisition, ASAP. Hims is going public just three years after launching (for reference: it took Teladoc 13 years). But with IPOs on track to have their best year ever and telehealth thriving, Hims is speeding up plans to go public. The CEO says it compressed a 2-3 year roadmap into just a few months with multiple product launches.
Hims has reached recurring revenue bliss... Hims has 260K medication subscribers, and 91% are recurring. That's 234K customers shelling out money each month to treat chronic conditions or regular needs. Not only does Hims have high sales frequency — it also has high sales stickiness. Those chronic conditions are unfortunately... chronic.