Shares of Tomato System, a company specializing in artificial intelligence (AI) software, surged after news of final approval for its insurance business in the United States.
According to the Korea Exchange, as of 3:05 PM, Tomato System's stock was trading at 2,550 won, up 588 won (29.97%) from the previous trading day.
The sharp increase in Tomato System's shares is attributed to the announcement that Medicare Partners Health Plan Texas, a subsidiary of Medicare Partners (MCP), received final approval from the Centers for Medicare & Medicaid Services (CMS) for its insurance business for the upcoming year. Tomato System plans to begin recruiting insurance subscribers next month, with services set to officially launch on January 1 of next year.
Last October, Tomato System acquired a 5% stake in MCP through its U.S. subsidiary, CyberMDcare (CMD). The company is not only investing in equity but also aims to provide software and digital healthcare services necessary for insurance operations.
CMD is also working on establishing a K-Medical Organization (KMO) to build a medical network in the U.S. The KMO plans to collaborate with local medical institutions and professionals to develop services linked to Korean-style health screening centers.
Market analysts expect that this final approval will pave the way for the long-anticipated launch of Tomato System's U.S. insurance business, creating new opportunities in insurance operations and the digital healthcare sector.
* This article has been translated by AI.
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