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Leidos awarded Organ Procurement and Transplantation Network operations contract

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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.

Leidos (NYSE:LDOS) ha ottenuto un nuovo contratto per modernizzare il Network per la Procura e il Trapianto di Organi (OPTN), assegnato dal Dipartimento della Salute e dei Servizi Umani degli Stati Uniti. Il contratto, che prevede più aggiudicazioni, ha un valore potenziale di 235 milioni di dollari, inclusi un periodo iniziale di un anno e quattro opzioni annuali.

L'azienda competere con altri fornitori per modernizzare aspetti chiave del sistema di trapianto di organi, con l'obiettivo di migliorare trasparenza, prestazioni, governance ed efficienza. Questa iniziativa beneficerà oltre 100.000 persone in attesa di un trapianto di organi a livello nazionale e rappresenta le riforme più significative dell'OPTN da quasi 40 anni.

Leidos (NYSE:LDOS) ha asegurado un nuevo contrato para modernizar la Red de Obtención y Transplante de Órganos (OPTN), que fue otorgado por el Departamento de Salud y Servicios Humanos de EE. UU. El contrato de múltiples adjudicaciones tiene un valor potencial de 235 millones de dólares, que incluye un periodo base de un año y cuatro opciones anuales.

La compañía competirá con otros proveedores para modernizar aspectos clave del sistema de trasplante de órganos, con el objetivo de mejorar la transparencia, el rendimiento, la gobernanza y la eficiencia. Esta iniciativa beneficiará a más de 100,000 personas en la lista de espera nacional para el trasplante de órganos y representa las reformas más significativas de la OPTN en casi 40 años.

Leidos (NYSE:LDOS)는 미국 보건복지부로부터 장기 기증 및 이식 네트워크(OPTN)를 현대화하는 새로운 계약을 체결했습니다. 이 다수 수상 계약은 2억 3천 5백만 달러의 잠재적 가치를 지니며, 1년 기본 기간과 4개의 1년 옵션을 포함합니다.

회사는 장기 이식 시스템의 주요 측면을 현대화하기 위해 다른 공급업체와 경쟁할 것이며, 투명성, 성능, 거버넌스 및 효율성을 개선하는 것을 목표로 하고 있습니다. 이 이니셔티브는 전국의 장기 이식 대기자 목록에 있는 10만 명 이상의 사람들에게 혜택을 주며, 거의 40년 만에 가장 중요한 OPTN 개혁을 나타냅니다.

Leidos (NYSE:LDOS) a obtenu un nouveau contrat pour moderniser le Réseau de Procurements et de Transplants d'Organes (OPTN), attribué par le Département de la Santé et des Services Sociaux des États-Unis. Ce contrat à multiples attributions a une valeur potentielle de 235 millions de dollars, incluant une période de base d'un an et quatre options d'un an.

La société konkurra avec d'autres fournisseurs pour moderniser des aspects clés du système de transplantation d'organes, visant à améliorer la transparence, la performance, la gouvernance et l'efficacité. Cette initiative bénéficiera à plus de 100 000 personnes sur la liste d'attente nationale pour les transplantations d'organes et représente les réformes les plus significatives de l'OPTN depuis près de 40 ans.

Leidos (NYSE:LDOS) hat einen neuen Vertrag zur Modernisierung des Organbeschaffungs- und Transplantationsnetzwerks (OPTN) erhalten, der vom US-Gesundheitsministerium vergeben wurde. Der Mehrfachvergabevertrag hat einen potenziellen Wert von 235 Millionen Dollar, einschließlich eines einjährigen Basiszeitraums und vier einjähriger Optionen.

Das Unternehmen wird mit anderen Anbietern konkurrieren, um wesentliche Aspekte des Organspende-Systems zu modernisieren, mit dem Ziel, Transparenz, Leistung, Governance und Effizienz zu verbessern. Diese Initiative kommt über 100.000 Menschen auf der nationalen Warteliste für Organtransplantationen zugute und stellt die bedeutendsten Reformen des OPTN seit fast 40 Jahren dar.

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

Insights

This $235 million OPTN modernization contract represents a significant opportunity for Leidos in the healthcare technology sector. The contract structure, with a base year plus four option years, provides stable revenue potential while the competitive task order format ensures ongoing opportunities. Key value drivers include:

  • Strategic expansion in healthcare IT modernization, a high-growth sector
  • Recurring revenue potential through the 5-year contract period
  • Enhanced positioning for future government health tech contracts

The contract's focus on critical infrastructure modernization aligns with increasing federal healthcare IT spending trends. While the total contract value is relatively modest compared to Leidos' $25B market cap, it strengthens their healthcare portfolio and demonstrates their ability to win complex federal health technology contracts.

The IDIQ contract structure is particularly noteworthy as it requires Leidos to compete against other vendors for individual task orders. This format typically results in a more dynamic revenue stream compared to single-award contracts. Critical aspects include:

  • Multiple vendors competing for task orders provides ongoing revenue opportunities
  • Base plus option years structure aligns with federal contracting best practices
  • High-visibility project enhances past performance credentials for future bids

The contract's focus on modernizing a critical healthcare system positions Leidos well for similar future opportunities in federal health IT modernization initiatives.

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

 

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/leidos-awarded-organ-procurement-and-transplantation-network-operations-contract-302292139.html

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.

Leidos Holdings, Inc.

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