Digital distributor will use financing to expand library
Digital distribution shingle SnagFilms has announced $6 million in new financing from existing investors and new shareholder CNF Investments.SnagFilms will use the funds to grow its library of 4,000 independent titles to 5,000, according to a statement announcing the deal on Thursday, as well as expand the number the platforms on which those films will be shown. Company currently offers titles through a network of digital partners including Comcast’s Xfinity, Hulu, the Starbucks Digital Network and its own website. Its mobile app is available on devices including iPad, iPhone, Windows 8-based devices and Xbox Live. Current investors participating in the latest funding round include founder and chairman Ted Leonsis, Revolution Ventures, the John S. and James L. Knight Foundation, New Enterprise Associates, Comcast Ventures and media exec Terry Semel. CNF Investments, a division of Clark Enterprises, “focuses on early and growth stage companies but will consider investments in later stages and selective public investments as well,” according to the company’s website. “SnagFilms has grown with investments in technology, content and marketing, applied to a 4,000-title library that has grown 10-fold since our launch,” Leonsis said. “With this new infusion, the company will accelerate into a record 2013, bringing more great films to a broader audience, everywhere they want to watch. We appreciate the continued support of our exceptional investor group and welcome our friends from Clark Enterprises — a company whose growth from a local startup to a national powerhouse offers a strong model for our business.” Announcing their deal at the top of Sundance could help SnagFilms lure indies, although the company didn’t acquire anything during last year’s fest (but did announce the acquisition of 16 non-Sundance films). Almost exactly a year ago, SnagFilms announced its second round of funding, which brought its total available equity and debt financing to $7 million.