Abbreviated New Drug Submission (ANDS)

DEFINITION of 'Abbreviated New Drug Submission (ANDS)'

A written request to Health Canada to obtain marketing approval for a generic drug. An Abbreviated New Drug Submission (ANDS) must be approved by Health Canada, the country’s federal department in charge of national health care, under Canada’s Food and Drug regulations before the generic drug can be marketed in the country. An ANDS provides the necessary information for the government agency to evaluate how safe and effective a generic drug is compared with its brand-name equivalent. The generic must be equally safe and effective to gain approval.

BREAKING DOWN 'Abbreviated New Drug Submission (ANDS)'

When a company seeks approval of a new brand-name drug, it uses a New Drug Submission (NDS). An ANDS is used to obtain approval for generics and lists the related drug’s brand name, chemical name, manufacturer name, dosage form(s) and strength(s). The application states whether the drug has already been approved for marketing in the United States, the European Union, Switzerland, Singapore and/or Australia. It asks about drug impurities and drug stability.

It also asks for data on studies comparing the proposed drug to the approved brand-name drug, called the “reference drug,” and asks for data from studies conducted on the generic drug. For example, for drugs with delivery devices, the ANDS asks if there have been studies comparing the physical and operating characteristics of the brand name device with those of the proposed generic device. For tablets, it asks if the proposed generic has been scored like the brand name so the generic tablet can be divided similarly to the brand name tablet. The ANDS also asks about studies comparing the bioavailability of the brand name drug with that of the proposed generic drug, and about the results of bacterial endotoxin tests for sterile drugs. The applicant must pay a fee in conjunction with its ANDS.

One way for investors to evaluate biotechnology companies is to examine their pipeline of ANDS. A company with lots of pending ANDS relative to its competitors may end up with more generic drugs to sell and therefore be more profitable.