Jumpstart Nova VC fund invests in black health tech companies
the Jumpstart Nova venture capital fund, created by Marcus Whitney invests in black-led health technology companies.
Marcus Whitney, the co-founder of Jumpstart Nova, said CNBC he started the VC fund in Nashville after feeling a cultural shift from investors following the 2020 Black Lives Matter movement and focus on racial equity. Whitney had no trouble finding companies to invest in and launched Jumpstart Nova in 2021 to invest exclusively in black-led health tech companies.
“I realized there was a drive to do something that I had never really felt at any time in my life,” said Whitney, who took the opportunity to raise capital for companies. led by blacks.
Whitney added that he now wants to forge a system that brings more to black and minority founders to help even the VC playing field.
Whitney wasn’t the only one enjoying the moment. According to a Fairview Capital reportventure capital funds and private equity have seen a 25% increase in the number of women and minority-owned businesses in the health sector.
Jumpstart Nova’s venture capital fund now has $55 million in investments from pharmaceutical giant Eli Lilly, Bank of America and HCA Healthcare. The fund plans to add 20 health tech startups this year. Whitney told CNBC that Jumpstart Nova has already identified 150 prospects.
The venture capital fund could improve the health of black Americans across the country. Generations of black Americans have been betrayed by the American healthcare system. Incidents, including Tuskegee Syphilis Studythe study of Miss Henrietta and its cancerous cells led black Americans to widely mistrust the system.
That and decades of systemic racism in the US healthcare industry were among the reasons black Americans were infected and died at higher rates than almost any other race at the start of the pandemic. of COVID-19.
Other companies are also working to close the black health gap, including Cell and CourMed.