Leidos awarded Organ Procurement and Transplantation Network operations contract

Rhea-AI Summary

Leidos (NYSE:LDOS) has secured a new contract to modernize the Organ Procurement and Transplant Network (OPTN), awarded by the U.S. Department of Health and Human Services. The multiple-award contract has a potential value of $235 million, including a one-year base period and four one-year options.

The company will compete with other vendors to modernize key aspects of the organ transplant system, aiming to improve transparency, performance, governance, and efficiency. This initiative will benefit over 100,000 people on the national organ transplant waitlist and represents the most significant OPTN reforms in nearly 40 years.

Positive

• Contract has potential value of $235 million
• Multiple-year engagement opportunity with four one-year options
• Positions company in critical healthcare infrastructure modernization
• Large addressable market serving over 100,000 waitlisted patients

Negative

• Must compete with other vendors for task orders
• Contract value not guaranteed due to IDIQ structure

RESTON, Va., Oct. 31, 2024 /PRNewswire/ -- Leidos (NYSE:LDOS) announced today a new contract to modernize the Organ Procurement and Transplant Network (OPTN), a critical system that delivers vital organ transplant information to patients, donors, and healthcare providers. The contract was awarded by the U.S. Department of Health and Human Services through its Health Resources and Services Administration (HRSA). This multiple-award, indefinite delivery/indefinite quantity contract has a total potential value of $235 million, including a base period of performance of one-year and four one-year option periods.

"Every 10 minutes, someone is added to the transplant waiting list," said Liz Porter, Leidos Health & Civil Sector president. "Patients, donors, families, and physicians depend on timely and accurate data from the OPTN to facilitate life-saving transplants. By providing improved access to information and deploying modernized tools, we are dedicated to equipping all involved with the resources they need to make critical decisions."

Under the contract, Leidos will have the opportunity to compete with other vendors to win tasks to modernize key pieces of the organ transplant system to improve transparency, performance, governance, and efficiency across the donation and transplantation process. This effort will benefit more than 100,000 people on the national organ transplant waitlist.

With its deep expertise in technology, health systems, and large-scale electronic health record implementations, Leidos is uniquely positioned to collaborate with HRSA on planning and delivering the OPTN modernization.

This initiative, representing the most significant reforms of the OPTN in nearly four decades, is aimed at improving health outcomes and better-serving patients and families.

About Leidos

Leidos is a Fortune 500^® innovation company rapidly addressing the world's most vexing challenges in national security and health. The company's global workforce of 48,000 collaborates to create smarter technology solutions for customers in heavily regulated industries. Headquartered in Reston, Virginia, Leidos reported annual revenues of approximately $15.4 billion for the fiscal year ended December 29, 2023. For more information, visit www.leidos.com. 

Certain statements in this announcement constitute "forward-looking statements" within the meaning of the rules and regulations of the U.S. Securities and Exchange Commission (SEC). These statements are based on management's current beliefs and expectations and are subject to significant risks and uncertainties. These statements are not guarantees of future results or occurrences. A number of factors could cause our actual results, performance, achievements, or industry results to be different from the results, performance, or achievements expressed or implied by such forward-looking statements. These factors include, but are not limited to, the "Risk Factors" set forth in Leidos' Annual Report on Form 10-K for the fiscal year ended December 29, 2023, and other such filings that Leidos makes with the SEC from time to time. Readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. Leidos does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements were made.

Contact:

Alyssa Pettus
(571) 526-6743
alyssa.t.pettus@leidos.com

Brandon VerVelde
(571) 526-6257
Brandon.p.vervelde@leidos.com

 

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SOURCE Leidos Holdings, Inc.

FAQ

What is the value of Leidos (LDOS) OPTN modernization contract?

The contract has a total potential value of $235 million, including a one-year base period and four one-year option periods.

How many people will benefit from Leidos (LDOS) OPTN modernization contract?

The modernization effort will benefit more than 100,000 people currently on the national organ transplant waitlist.

When was Leidos (LDOS) awarded the OPTN contract?

Leidos was awarded the OPTN contract on October 31, 2024.

What is the duration of Leidos (LDOS) OPTN contract?

The contract includes a base period of one year plus four one-year option periods, potentially extending to five years total.