US-based online film streaming service Fandor has raised $7m in a series A round led by broadcaster Starz, the Wall Street Journal has reported.
The round also included merchant bank and advisory firm LionTree Advisors, and investment firm DNS Capital.
Fandor operates a subscription-based service priced at $7.50 to $10 a month that offers a range of around 7,000 independent films for streaming. It is available in North America and plans to begin expanding into Europe, Latin America and Asia from 2016.
Starz, the owner of an eponymous cable channel in the US, made the investment as part of a plan to expand its business beyond its core business. It has not made programming available through its own streaming service, but does hold a minority stake in Middle East-based service Starz Play Arabia.
Fandor previously raised seed funding from backers including angel investor Chris Kelly. It has also initiated talks with prospective investors for an eight-figure series B round, chief executive Larry Aidem told the WSJ.