Topeka, KS, Dec. 04, 2023 (GLOBE NEWSWIRE) — CareSource, a nationally recognized nonprofit health plan, announced the launch of the CareSource Midwest Fund in collaboration with Novy. CareSource is committing an initial investment of $2 million to the Fund, with opportunities for individual investments of up to $500,000 in selected companies.
The primary objective of the CareSource Midwest Fund is to empower startups based in the Midwest. These startups are dedicated to enhancing health care outcomes, advancing health equity and fostering positive social change. This investment is particularly targeted at underserved populations and individuals with complex health care needs.
“CareSource is committed to improving the health of Kansans for the long-term,” said Chad Moore, president of CareSource Kansas. “Establishing the CareSource Midwest Fund means we can fuel innovation, create jobs and attract businesses across the state of Kansas, while amplifying solutions to address the toughest issues our communities face.”
Novy is a venture studio that co-founds, grows, and funds software companies in the Midwest, with a particular focus on health care startups.
“This is a big step forward for Kansas’ startup ecosystem, bringing more resources – not just capital, but also the expertise that a national leader like CareSource has – to entrepreneurs in the Midwest,” said David Tominsky, partner at Novy. “These investments will create new jobs and opportunities for Kansans, while also making an impact on the state’s vulnerable populations.”
Novy will identify companies to be presented to the manager of the Fund. A committee composed of representatives from CareSource will approve investment decisions for the Fund, while other venture funds and investors will have the opportunity to co-invest alongside the CareSource Midwest Fund.
The CareSource Midwest Fund is just one of the initiatives CareSource has launched to support the health of Kansans. Along with forming the CareSource HealthAlliance, CareSource and the CareSource Foundation have invested more than $500,000 in Kansas to multiple community-based organizations through a grant challenge, direct community investments, and sponsorships.
Companies interested in being considered for investment from the CareSource Midwest Fund can apply at novyventures.com/caresource or for more information, contact [email protected].
CareSource Kansas was formed to offer programs and products in the state of Kansas and opened an office in Topeka in 2021. Recently, CareSource announced the formation of the CareSource HealthAlliance with a vision of bringing a unique member-centric model to Medicaid members enrolled in KanCare. For more, visit HealthierKansas.com.
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About CareSource
CareSource has administered one of the largest Medicaid managed care plans in the U.S. since its founding in 1989, now serving over 2.3 million members in multiple states. CareSource offers health insurance including Medicaid, Marketplace and Medicare products. As a mission-driven organization, CareSource is transforming health care with innovative programs that address the social determinants of health, health equity, prevention and access to care.
About Novy, LLC
Founded in 2023, Novy is a Midwestern venture studio that provides capital, guidance, and executive talent to exceptional startup founders in healthcare and other industries. The studio focuses on tech companies and works closely with them from founding through Series A. For more, visit novyventures.com.
- David Tominsky
- Chad Moore