Joe Cunningham of Sante Ventures talks about how they began their new fund and what he sees within the life science market today. Its parental sponsor, Ascension Well being Ministries, is an organization within the Roman Catholic Church that experiences to the Vatican on its key transactions and should adhere to church directives such as the prohibition on abortions. Its $2.7 billion in nonoperating earnings — resembling positive aspects from investments — in 2013 dwarfed its almost $400 million in earnings from its hospitals.
Tersigni and his deputies travel first-class and on constitution jets to conduct business across the nation and abroad, espousing well being care’s Holy Grail to ship excessive-end medical care at decrease prices. Chesterfield-based Mercy Well being has for-profit subsidiaries that distribute medical supplies and supply emergency medical services. However trade experts say Ascension’s scope of funding in for-earnings is unequalled in nonprofit health care.
That aim, he mentioned, is sophisticated by the big price and uncertainties of well being reform, together with lower government reimbursement rates. Doyle careworn that Ascension gives charity care to the poor and in addition $775 million in group benefits to most people. Final 12 months, it supplied traditional charity care to the poor that price $525 million, or about three p.c of its working revenue. Ascension’s holdings embody about 220 tax-exempt subsidiaries, from hospitals and nursing properties to outpatient clinics.
Olivette-based mostly ISTO Applied sciences, which is creating products for sports drugs and spinal remedy, was among the many startups that Ascension Ventures backed in its first venture capital fund. Ascension Ventures has backed at least two other local startups: Clayton-based Neurolutions, which makes a headset to aid stroke victims; and St. Louis-based mostly Stereotaxis, which makes robotic cardiology instruments. In 2012 Accretive was accused of unlawful practices at two Minnesota nonprofit hospitals not affiliated with Ascension.