Awarded contract

Provision of Lateral Flow testing devices for the detection of COVID-19 viral antigens

  • Secretary of State for Health and Social Care acting as part of the Crown through UK Health Security Agency

F03: Contract award notice

Notice reference: 2022/S 000-001383

Published 17 January 2022, 6:31pm



Section one: Contracting authority

one.1) Name and addresses

Secretary of State for Health and Social Care acting as part of the Crown through UK Health Security Agency

Nobel House, 17 Smith Square

London

SW1P 3JR

Contact

Procurement Operations

Email

Procurement.operations@dhsc.gov.uk

Country

United Kingdom

NUTS code

UKI32 - Westminster

Internet address(es)

Main address

https://www.gov.uk/government/organisations/uk-health-security-agency

Buyer's address

https://www.gov.uk/government/organisations/uk-health-security-agency

one.4) Type of the contracting authority

Ministry or any other national or federal authority

one.5) Main activity

Health


Section two: Object

two.1) Scope of the procurement

two.1.1) Title

Provision of Lateral Flow testing devices for the detection of COVID-19 viral antigens

two.1.2) Main CPV code

  • 33141625 - Diagnostic kits

two.1.3) Type of contract

Supplies

two.1.4) Short description

Mass testing using lateral flow testing kits (LFTs) for the detection of Covid-19 viral antigens has become a key part of protecting the economy and saving lives during the Covid-19 pandemic. The Omicron outbreak and its high transmissibility, which was not foreseeable by UKHSA, has led to a significant and urgent surge in demand for LFTs. As a result, it was necessary to fully utilise the supply of LFTs available under tender C40441 and then increase the volume of LFTs available under that tender. In accordance with the allocation mechanism set out in the ITT, and following this modification, UKHSA entered into a contract with Innova Medical Group Inc on 17 December 2021 for the supply of LFTs.

two.1.6) Information about lots

This contract is divided into lots: No

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £322,500,000

two.2) Description

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

Mass testing using lateral flow testing kits (LFTs) for the detection of Covid-19 viral antigens has become a key part of protecting the economy and saving lives during the Covid-19 pandemic. UKHSA has ensured the supply of LFTs by implementing a Dynamic Purchasing System (as advertised in a contract notice on the Find a Tender Service with reference C22033 on 5 March 2021). Further to that DPS, UKHSA published an Invitation to Tender on 27 July 2021 with reference C40441 for the supply of up to 600 million LTFs in packs of 7. This tender concluded and contracts were awarded in September 2021.
The Omicron outbreak and its high transmissibility, which was not foreseeable by UKHSA, has led to a significant and urgent surge in demand for LFTs. As a result, it was necessary to fully utilise the supply of LFTs available under tender C40441 and then increase the volume of LFTs available under that tender to 713,500,000. This was necessary to ensure continuing supply of LFTs to the public, as any delay would risk the current stock of LFTs being exhausted thereby introducing a significant risk to public health. This modification (in the form of increased volume available under the tender) does not alter the overall nature of the contracts let under the tender process.
In accordance with the allocation mechanism set out in the ITT, and following this modification, UKHSA entered into a contract with Innova Medical Group Inc on 17 December 2021 for the supply of LFTs. This order was made up of volume anticipated under the original tender as well as additional volume available as a result of this modification. The total value of both elements was £322,500,000. The increase in price as a result of the modification does not exceed 50% of the value of the original contracts let under the original tender process.
No further tender process was required to implement this modification because it meets the requirements set out in Regulation 72(1)(c) of the Public Contracts Regulations 2015 for the reasons set out in this notice.

two.2.5) Award criteria

Quality criterion - Name: Social Value / Weighting: 30%

Cost criterion - Name: Price / Weighting: 70%

two.2.11) Information about options

Options: No

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No


Section four. Procedure

four.1) Description

four.1.1) Type of procedure

Restricted procedure

four.1.3) Information about a framework agreement or a dynamic purchasing system

The procurement involves the setting up of a dynamic purchasing system

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes

four.2) Administrative information

four.2.1) Previous publication concerning this procedure

Notice number: 2021/S 000-004511


Section five. Award of contract

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

17 December 2021

five.2.2) Information about tenders

Number of tenders received: 9

Number of tenders received from tenderers from non-EU Member States: 2

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

INNOVA MEDICAL GROUP INC.

800 E. Colorado Blvd., Ste 288, Pasadena, California

Pasadena

91101

Country

United States

NUTS code
  • US - United States
The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £322,500,000

Lowest offer: £322,500,000 / Highest offer: £322,500,000 taken into consideration


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

The High Court

Strand

London

WC2A 2LL

Email

generaloffice@administrativecourtoffice.justice.gov.uk

Country

United Kingdom

Internet address

https://www.gov.uk/courts-tribunals