by Women’s health unicorn Maven Clinic is raising new capital in a new funding round, Business Insider has learned.
The startup raised more than $100 million in the round, according to two people with knowledge of the deal. One of the people said Maven was targeting $150 million in proceeds.
Private equity firm StepStone Group will lead the round, according to two sources with knowledge of the deal..
Maven is backed by some big-name venture capitalists, including General Catalyst, Sequoia and Oak HC/FT. Since launching in 2014, it has raised $300 million to provide virtual care to women and families. One person said its latest fundraising efforts valued Maven at $1.7 billion, up from its $1.3 billion Series E valuation. The startup raised that round, a $90 million cash infusion, in November 2022.
The startup has gained popularity by striking deals with employers and health insurers to provide care for a range of conditions, from fertility to pregnancy, postnatal care and menopause.
StepStone isn’t an obvious investor for a startup like Maven, as the firm typically invests in venture capital and PE funds as a limited partner. Earlier this year, StepStone announced a $3.3 billion fund to invest in venture capital secondaries, which allows the PE firm to buy up another investor’s stake in a startup or VC fund.
The round has not yet closed and the numbers involved could still change. Maven declined to comment for this story. StepStone did not respond to a request for comment.
Healthcare startups have seen a significant slowdown in funding over the past two years, except in women’s health. Investment in women’s health startups grew 5% between 2022 and 2023, despite venture capital funding in healthcare as a whole falling 27% over the same period, according to a Deloitte report.
Yet women’s health remains a small part of the overall industry. That same Deloitte analysis found that women’s health startups attract just 2% of all venture healthcare funding.
And despite the sector’s slow growth, some women’s health unicorns are at risk of disappearing. After offering investors discounts to participate in its latest fundraising efforts earlier this year, fertility startup Kindbody may now be looking to raise additional funding at a pre-money valuation of $600 million, Bloomberg reported in August. That’s a significant discount from the $1.8 billion post-money valuation Kindbody was given in March 2023.
Maven’s apparent up-round could be a good sign for the sector. While high-valuation women’s health startups are few and far between, Maven and Kindbody are widely considered the two most likely candidates for a women’s health IPO.
Maven hasn’t been as vocal as Kindbody about its IPO ambitions. But some healthcare investors see Maven’s success and its hopeful exit as a crucial step in bolstering women’s health for still-skeptical generalists down the road.
Maven also has the backing of Big Tech. The startup inked a partnership in August 2023 to bring its family-building solution to Amazon workers in more than 50 countries.