Diana Health, a New York-based healthcare startup revolutionizing women's health through hospital partnerships, announced a $55 million Series C funding round on September 11, 2025. The funding, led by HealthQuest Capital with participation from existing investors Norwest Venture Partners, .406 Ventures, LRVHealth, and AlleyCorp, brings Diana's total funding to $101 million since its 2020 founding.
Addressing America's Maternal Health Crisis
Diana Health tackles one of America's most pressing healthcare challenges: maternal mortality. The United States has the worst maternal health outcomes among developed nations, with 32.9 deaths per 100,000 live births according to CDC data, creating an urgent need for innovative care models that improve outcomes while reducing costs.
The company's approach centers on co-designing and operating women's health programs directly with hospitals. Rather than competing with existing healthcare systems, Diana integrates within hospital labor and delivery units and outpatient clinics, creating sustainable partnerships that benefit both institutions and patients.
Proven Clinical Model Shows Results
Diana's clinical model pairs certified nurse-midwives with OB-GYNs and mental health professionals to deliver comprehensive care. This team-based approach enables longer appointment times and wraparound support including nutritional counseling and mental health services. Research shows midwifery care improves outcomes and reduces C-section rates. The company currently serves over 80,000 patients annually across nine hospital partners in Tennessee, Florida, and Texas.
"When midwives are at the center of care, families are healthier and communities thrive," said Dr. Neel Shah, Chief Medical Officer of Maven Clinic, who joins Diana's board as part of this funding round. "Diana Health is showing that by elevating the midwifery model, health systems can deliver care that is evidence-driven, deeply relational, and aligned with what women truly want and need."
The early results look promising, though we're still in early days. Diana maintains a Net Promoter Score in the mid-80s and shows improvements across C-section rates, preterm births, NICU admissions, and postpartum hemorrhage. These outcomes are encouraging, but scaling midwifery care faces a fundamental problem - there aren't enough midwives.
Diana will need to solve workforce shortages. Period. The bigger question is whether hospitals will actually change their culture to support midwifery-led care, or if this becomes another well-funded experiment that dies in committee.
Comprehensive Women's Health Beyond Pregnancy
While maternal care forms Diana's core, the platform addresses the full spectrum of women's health needs. Services span sexual health, pre-conception planning, gynecological conditions like PCOS and endometriosis, nutrition guidance, and perimenopause/menopause management.
The company's custom-built patient app integrates with AthenaHealth EHR to support women throughout their care journey. The app provides educational tools, goal-setting capabilities, and maintains engagement between visits through telehealth capabilities. Diana leverages women's high digital engagement with health technology platforms.
Technology-Enhanced Care Delivery
Diana already incorporates AI through Ambience Healthcare's automated scribe technology and plans to enhance AI capabilities with the new funding. The company will invest in advanced provider insights and platform improvements to scale its model more effectively.
Witney McKiernan, Principal at HealthQuest Capital who joins Diana's board, explained the investment thesis: "We invested because Diana Health aligns clinicians and hospitals around clear goals, measurable outcomes, and durable maternity and women's programs—historically difficult to sustain and scale."
Expansion and Growth Strategy
The Series C funding will accelerate Diana's physical footprint expansion, deepen integrated clinical programming, and enhance its digital platform capabilities. With healthcare systems increasingly focused on value-based care and patient satisfaction, Diana's model addresses critical market needs.
CEO Kate Condliffe emphasized the long-term vision: "It is by improving the quality of the patient experience, improving the quality of care, that ultimately those hospitals can build lasting programs by earning women's trust and loyalty over time."
This funding positions Diana Health to significantly impact America's maternal health crisis while building a sustainable, scalable business model that benefits hospitals, providers, and patients alike.