US women’s health provider secures US$34m in funding to ‘redesign’ maternity services

The US women’s health provider Diana Health has secured US$34m in Series B financing to introduce a new care model for improving maternal health outcomes.

The New York-based company, a network of women’s health practices that work within the traditional healthcare system, will use the new capital to bring its individualised care model to new communities across the US and expand its digital platform and offerings.

Despite spending US$111bn on maternity care annually, maternal mortality rates in the US are two times those of other developed countries and the patient experience is often inadequate.

In addition, access to labour and delivery (L&D) services is waning. More than 400 hospitals have closed their L&D units between 2016-2020.

Putting even more pressure on an already-strained system, a growing shortage of obstetricians and gynaecologists is expected to reach 22,000 by 2050, according to the American College of Obstetricians and Gynecologists.

Diana Health aims to provide a care model that directly addresses these challenges. The company partners with hospital and health system leadership to restructure their women’s health programmes with a clinical redesign of labour and delivery.

The model claims to deliver a “tech-enabled”, holistic care experience for women and families, deploying integrated care teams of nurse midwives, OB/GYNs, mental health and wellness providers.

“We know that women want individualised, comprehensive care that puts them in the driver’s seat of their own health and improves outcomes. It is also how most providers want to practice,” said Kate Condliffe, co-founder and CEO of Diana Health.

“Health systems that partner with Diana Health are redesigning their existing practice structure and their workforce to align with these principles.

“This sets their programmes up for growth and sustainability, earning the loyalty of patients by delivering better care.”

Irem Rami, principal at Norwest Venture Partners which led the funding round, said: “Diana Health has developed a solution that aligns interests across stakeholders, delivering value for women, payers, providers and health systems.

“Its unique approach restructures the core healthcare delivery model, giving hospitals a competitive advantage that earns patient loyalty through better experiences and outcomes, and helps lower costs and risks attributed to inadequate care and unnecessary medical procedures.

“The team has made tremendous progress to date. We look forward to bringing their solution to more communities as Diana Health expands nationwide and provides greater high-quality access to maternal and gynaecological care.”

Diana Health currently operates three sites in Tennessee in partnership with HCA TriStar StoneCrest Medical Center, HCA TriStar NorthCrest Medical Center and Cookeville Regional Medical Center.

The company is planning to open three new sites in Florida in the coming months.