Midwife-Led Maternity Care Startup Millie Secures $12M in Series A Funding

Millie, a startup reimagining maternity care with a midwife-led model, has raised $12 million in a series A funding round. The investment will fuel the company's expansion plans and allow it to broaden its women's healthcare services. This development comes as the U.S. faces a critical shortage of maternity care providers and growing demand for alternative care models.

Expansion Plans and New Clinic Openings

Millie currently operates a clinic in Berkeley, California, in partnership with Alta Bates Summit Medical Center, a Sutter Health-owned hospital. The company is set to open its second clinic in San Francisco's South Bay, collaborating with Good Samaritan Hospital, part of HCA Healthcare. Anu Sharma, founder and CEO of Millie, revealed plans to announce two additional locations later this year, with ambitions to expand beyond California.

The new funding will enable Millie to grow its footprint and introduce more comprehensive women's healthcare services. These additions include wraparound gynecological care, miscarriage counseling, and other related services, positioning Millie as a "women's health company for the reproductive years," according to Sharma.

Innovative Care Model and Improved Outcomes

Millie's approach combines in-person clinic visits with virtual care services, supported by a collaborative clinical team of midwives, doulas, and physicians. The company's care platform incorporates remote patient monitoring tools and a digital app to provide comprehensive support throughout pregnancy and postpartum periods.

The midwife-led model has shown promising results, with Millie reporting 30% better C-section rates among low-risk, first-time mothers and 67% improved preterm birth rates compared to traditional care models. These outcomes align with broader research indicating that midwives are the optimal providers for more than 80% of low-to-moderate risk pregnancies, offering lower C-section rates and higher patient satisfaction scores.

Addressing the Maternity Care Crisis

Millie's expansion comes at a critical time for maternity care in the United States. According to the 2024 March of Dimes Maternity Care Deserts report, over 35% of U.S. counties are designated as maternity care deserts. The Health Resources and Services Administration projects a shortfall of 5,170 OB-GYNs by 2030, further exacerbating the access crisis.

Sharma, drawing from her personal experience with a postpartum near-miss, emphasized the gaps in current maternal care models. "It's incomplete in that it leaves out entire chunks of care needs that people have. Knitting that together is an exercise and piecing that together a jigsaw," she stated.

The investment in Millie reflects a growing recognition of the need for innovative solutions in maternity care. Erin Harkless Moore, managing director for investments at Pivotal Ventures, noted, "Millie's inclusive approach, focus on overlooked markets, broad-based health system partnership strategy, and in-network care is purpose-built to address critical access gaps in maternity care."