Bayer Healthcare Pharmaceuticals Inc.

Bayer Healthcare Pharmaceuticals Inc., a foreign-owned subsidiary of Germany-based Bayer AG, supplies specialty pharmaceuticals and radiopharmaceuticals to federal healthcare agencies as a prime contractor entirely through full-and-open Federal Supply Schedule delivery orders and indefinite delivery contracts, competing without set-aside designations. Headquartered in Whippany, New Jersey, with secondary distribution operations in Dublin, Ohio, the company operates across NAICS 325412 (Pharmaceutical Preparation Manufacturing) and PSC 61 (Drugs and Biologicals), with place of performance spanning authorized federal healthcare facilities nationwide.

Bayer's federal pharmaceutical portfolio centers on single-source and limited-manufacturer medications essential to veterans' healthcare and military medical readiness. Representative work includes delivering Xofigo (radium-223 dichloride), a radiopharmaceutical for castration-resistant prostate cancer treatment, under multiple delivery orders to Veterans Integrated Service Networks totaling in the millions; supplying Adempas (riociguat) for pulmonary arterial hypertension to correctional facilities and VA medical centers; and providing Cipro and other antibiotics, contraceptives, and specialty medications to the Defense Logistics Agency's medical supply chain. A $15.1 million delivery order from the Office of the Assistant Secretary for Preparedness and Response on September 30, 2025, for Ciprofloxacin 250 mg/5 ml oral suspension exemplifies work scaling across civilian federal health agencies beyond the VA and DoD.

Customer concentration is extreme and dollar-heavy. The Department of Veterans Affairs Veterans Health Administration Veterans Integrated Service Network 12 accounts for 67 awards carrying $8.77 billion in combined potential value—representing approximately 97 percent of Bayer's total federal potential value in the source data. The Defense Logistics Agency Troop Support Medical, despite placing 131 awards (nearly double VISN 12's count), carries only $79.7 million in combined potential value, indicating high-volume, low-dollar transaction patterns. Together, these two customers account for approximately 99 percent of Bayer's combined potential value across 31 distinct federal agencies served. The divergence between award count and dollar concentration signals that VISN 12's orders are substantially larger individual task orders, likely reflecting large standing commitments for radiopharmaceuticals.

Bayer holds two primary parent vehicles. The $840 million Pharmaceuticals and Drugs Federal Supply Schedule (FSS-61-IB) administered by the Department of Veterans Affairs spans 590 task orders and $144 million in combined potential value; this is the dominant vehicle enabling daily procurement across federal agencies without additional competitive solicitation. A second vehicle, a single-award Indefinite Delivery Contract (SPE2D020D0004) with the Defense Logistics Agency Troop Support Medical, carries 70 task orders valued at $769 thousand. Additionally, Bayer holds a $6.8 million Blanket Purchase Agreement with the VA National Acquisition Center effective through October 5, 2027, specifically for Xofigo and Adempas medications, and a $10.3 million Indefinite Delivery Contract with DLA Troop Support Medical awarded May 28, 2026, for Sorafenib Tablets (a cancer treatment) running through May 27, 2031. These vehicles streamline sole-source procurement of critical specialty medications without requiring additional competitive solicitation.

Recent activity remains steady despite overall dollar concentration. Bayer received 24 awards in 2026 (as of September 1), 14 in 2025, 22 in 2024, 26 in 2023, and 27 in 2022, averaging approximately 23 awards annually over the past five years. Only four awards face ultimate completion within the next twenty-four months, carrying combined potential value of $769 thousand—a minimal recompete cliff, consistent with Bayer's indefinite delivery posture and standing orders under the FSS-61-IB vehicle. Obligated dollars are minimal: $53.9 million represents only 1 percent of the $9 billion combined potential value, reflecting the preponderance of indefinite-quantity ceiling values rather than firm orders. All recent awards carry full-and-open, no-set-aside designations, positioning Bayer as a large foreign-owned enterprise competing without restrictions. Bayer operates exclusively as a prime contractor; the source contains zero sub-awards across 672 total awards, indicating no subcontracting footprint within federal work.