Hims & Hers Health is set to acquire Wonders, the European telehealth platform also known as Zava, as part of its global expansion strategy. The deal,expected to finalize by mid-year,will extend Hims & Hers’ services into ireland,France,and Germany.

“We’re excited to take this moment to really accelerate both the European expansion, but also use this platform as an accelerant as we move into more markets,” said Hims & Hers CEO Andrew Dudum.

The acquisition will increase Hims & Hers’ active customer base by approximately 50%, incorporating ZavaS 1.3 million subscribers into thier existing 2.4 million.

Strategic Expansion into Europe

Andrew Dudum emphasized the company’s commitment to global expansion during their first-quarter earnings call in May. He noted the positive initial results in the U.K. as a sign of the company’s ability to scale its platform internationally.

“early traction in the U.K. gives us confidence that we can scale out platform globally.”

Hims & Hers initially expanded into the U.K. in 2021 with the acquisition of Honest health, a London-based vertical health platform.

Zava’s Role and Future Integration

Zava CEO David Meinertz, who founded the platform in 2011, believes the acquisition will provide support to the strained European healthcare system. He stated that the cost-effectiveness of medications in Europe, compared to the U.S., makes healthcare more accessible to a broader population.

“The medications are priced more competitively than in the U.S. so more people can actually afford it and we are seeing a huge demand,” said Meinertz.

Following the acquisition, Zava platforms will initially maintain their branding for a few quarters before transitioning to the Hims & Hers brand. David Meinertz will assume the role of general manager of the international business.

Confidence in Growth Amidst uncertainty

Despite macroeconomic uncertainties, Andrew Dudum expressed confidence in the company’s decision to move forward with the acquisition. he highlighted the advantageous pharmaceutical pricing in Europe compared to the U.S., which could simplify the delivery of accessible, personalized treatments.

“The pricing on pharmaceuticals is so much more consumer advantageous in broader Europe relative to the U.S.,” said Dudum.