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Vanda Seeks FDA Commissioner Review of Outgoing CDER Director

Key Takeaway: Vanda Pharmaceuticals is urging FDA Commissioner Martin Makary to review a decision made by Jacqueline Corrigan-Curay, the outgoing director of CDER, who upheld the approval of two generic versions of Vanda's drug, Hetlioz. Vanda argues that the approvals were flawed due to inadequate studies and data inconsistencies. The company has previously filed petitions against these generic approvals, highlighting potential risks to public health. Vanda's concern underscores broader issues of bias within the FDA's approval processes as they seek accountability.
Price reaction · baseline $4.6 (2025-08-20 close) · hit after-hours · clean, no other VNDA news in the window
day 0 close · peak
-2%

Market Sentiment Analysis

POSITIVE FACTORS

  • Vanda is actively challenging FDA decisions related to generic drug approvals.
  • Asks for a review from the FDA Commissioner, showing their engagement.
  • Public attention drawn to regulatory issues surrounding drug approvals.

CONCERNS & RISKS

  • Vanda expresses concern over perceived bias in the FDA regarding generic drug approvals.
  • Inconsistencies in study data accepted by the FDA create trust issues.
  • Process may take two months for a decision from the Office of the Commissioner.

BiopharmaWatch Analysis

From our catalyst data and publicly available data · not financial advice
Best trade, last catalyst
+121%
120-day peak, hindsight
Typical move
19.9%
average across 7 past catalysts
Cash runway
~16 mo
Low dilution risk
Lead asset
Imsidolimab
Phase 2 · Palmoplantar Pustulosis

Full Press Release Details

WASHINGTON, Aug. 21, 2025 /PRNewswire/ -- Vanda Pharmaceuticals Inc. (Vanda) (Nasdaq: VNDA) today announced that it has asked Martin Makary, the Commissioner of the U.S. Food and Drug Administration (FDA) to review the decision made by Jacqueline Corrigan-Curay, the departing director of the FDA's Center for Drug Evaluation and Research (CDER), days before her retirement that upholds an Office of Generic Drugs decision to approve two generic versions of Hetlioz®.
In 2023, Vanda filed citizen petitions challenging the FDA's approval of two generic versions of Vanda's drug Hetlioz®. Vanda argued that each was improperly approved in light of significant flaws in the studies and data presented.
In July 2025, outgoing CDER director Corrigan-Curay issued a decision siding with the prior FDA decision to approve these generic versions, seemingly agreeing that generic drug manufacturers need only conduct small studies that include only Indian male subjects to establish bioequivalence for use in the general US population. Further, in the case of one generic version, Corrigan-Curay accepted that significant inexplicable data inconsistencies measuring a drug's exposure levels in the blood could be justified by the supposedly different "psychological state" of participants at different times and that it was of no concern that one of the generic versions showed exposure levels more than double those Vanda has obtained for Hetlioz®.
This decision reflects the FDA's unacceptable culture of bias toward approving generic drugs regardless of whether they meet the requisite legal and evidentiary standards, endangering the well-being of American citizens. Katherine Eban extensively exposed this serious flaw in her 2019 book Bottle of Lies: The Inside Story of the Generic Drug Boom, but it appears to remain entrenched at the FDA.
Vanda is now asking Commissioner Makary to review this decision. Unfortunately, FDA bureaucrats have suggested that the Office of the Commissioner (not the Commissioner) will take two months to decide whether the Office of the Commissioner will review the merits of this decision. It is time that the rule of law return to the FDA under Dr. Makary's leadership. Agency personnel must abide by the law and Commissioner priorities.
About Vanda Pharmaceuticals Inc.
For full U.S. Prescribing Information for HETLIOZ®, including indication and Important Safety Information, visit www.hetlioz.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Various statements in this press release, including, but not limited to statements regarding the expected timeframe for a decision by the Office of the Commissioner whether to review the decision of the outgoing director of CDER with respect to the FDA's prior approvals of two generic versions of Hetlioz®, are "forward-looking statements" under the securities laws. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Forward-looking statements are based upon current expectations and assumptions that involve risks, changes in circumstances and uncertainties. Important factors that could cause actual results to differ materially from those reflected in Vanda's forward-looking statements include, among others, the ability of the Officer of the Commissioner to reach a decision within the expected timeframe. Therefore, no assurance can be given that the results or developments anticipated by Vanda will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, Vanda. Forward-looking statements in this press release should be evaluated together with the various risks and uncertainties that affect Vanda's business and market, particularly those identified in the "Cautionary Note Regarding Forward-Looking Statements", "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of Vanda's most recent Annual Report on Form 10-K, as updated by Vanda's subsequent Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other filings with the U.S. Securities and Exchange Commission, which are available at www.sec.gov.
All written and verbal forward-looking statements attributable to Vanda or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements contained or referred to herein. Vanda cautions investors not to rely too heavily on the forward-looking statements Vanda makes or that are made on its behalf. The information in this press release is provided only as of the date of this press release, and Vanda undertakes no obligation, and specifically declines any obligation, to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Senior Vice President, Chief Financial Officer and Treasurer
Vanda Pharmaceuticals Inc.
Jim Golden / Jack Kelleher / Dan Moore
Collected Strategies

Frequently Asked Questions

What did Vanda Pharmaceuticals request from the FDA?

Vanda requested FDA Commissioner Martin Makary to review a decision made by Jacqueline Corrigan-Curay regarding two generic Hetlioz® versions.

Why did Vanda challenge the generic approvals?

Vanda argued that the generic approvals were flawed due to significant issues in the studies and data presented.

What did the FDA decide about generic drug studies?

The FDA indicated that small studies with only Indian male subjects were sufficient for bioequivalence.

What concerns did Vanda express about the FDA's culture?

Vanda criticized the FDA for bias towards approving generics without meeting necessary legal standards.

When will the Office of the Commissioner decide on Vanda's request?

The FDA suggested it may take two months to determine whether to review Vanda's request.

Last updated: Aug 21, 2025