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Homeland Security

U.S. Department of Defense

September 28, 2020

DOD and HHS Award $20 Million Contract to On Demand Pharmaceuticals to Develop Domestic Production of Critical Pharmaceutical Ingredients

On September 28, the Department of Defense (DOD), in coordination and on behalf of the Department of Health and Human Services (HHS), signed a $20 million contract award with On Demand Pharmaceuticals (ODP) to develop a domestic production capability for critical active pharmaceutical ingredients (APIs) and final formulated medicines using their proprietary Pharmacy on Demand technology.

This investment will enable ODP to fully develop its small footprint pharmaceutical production technology, initially developed with funding from the Defense Advanced Research Projects Agency (DARPA). Critical APIs and their starting materials have long been sourced from overseas, and the collaboration with ODP is expected to increase the onshore production of three critical APIs that ultimately form the building blocks for final formulated medicines used to treat critically ill U.S. service members and COVID-19 patients.

This contract award is part of the ongoing collaboration between DOD's Defense Assisted Acquisition (DA2) Cell and HHS Assistant Secretary for Preparedness and Response (ASPR) to apply HHS Coronavirus Aid, Relief, and Economic Security (CARES) Act funds to critical technology development projects to support the COVID-19 pandemic response. Execution of the award will be overseen by DARPA.

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