CareSource to Invest $2 Million in Investment Fund to Support Health and Community Initiatives in Kansas and the Midwest
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 david@novyventures.com.
