The Wrap announces new funding

The venture capital firm co-founded by Starbucks CEO Howard Schultz has, along with other investors, put another $2 million into The Wrap, the site says in a news release. The money "will be used to accelerate the continued expansion of and to provide flexibility to take advantage of new market opportunities," the release says. Story at paidContent, release after the jump. No response yet from rival Nikki Finke, who has been claiming The Wrap was running out of money.

Previously on LA Observed:
In re Finke vs The Wrap, we'll know soon

(Los Angeles) – April 26, 2010 –, the fastest growing news organization covering the business of entertainment and media, has raised a $2 million B round capital investment from parties including Maveron, a venture capital firm co-founded by Starbucks CEO, Howard Schultz, and a majority of the Company’s A round investors.

The B round investment will be used to accelerate the continued expansion of and to provide flexibility to take advantage of new market opportunities. This latest investment follows’s series A funding in January 2009 from Maveron and a group of private investors.

“We’re extremely pleased with the growth has demonstrated since its launch,” said Ben Choi, Maveron Principal and board member. “This new investment and our continued support is a direct result of that success and Sharon’s leadership.”

“It’s been an exciting 15 months for,” added Sharon Waxman, Editor-in-Chief. “This capital will allow us to take advantage of opportunities in a very rapidly-changing media space, and will help us expand our revenue streams beyond display advertising, events and licensing.”, founded by award-winning journalist Sharon Waxman in late January 2009, has experienced phenomenal growth, now reaching over 1 million unique visitors per month. As a comprehensive source for entertainment business news, continues to deliver high-profile newsbreaks, investigative stories, and authoritative analyses as a reliable and independent source for media and industry professionals.

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