Online DVD rental outfit Video Island has raised a further£5m in backing from EVP, Europe's leading venture debt provider.

The funding takes the total amount raised by Video Island toover £15m.

EVP joins current equity investors BenchmarkCapital, Cazenove Private Equity and Index Ventures.

The funding will be used to expand Video Island's DVD library, to invest incurrent operations and will be earmarked for potential acquisitionopportunities.

Video Island CEO Saul Klein said: "Having already raised£10m, Video Island has always recognised that building a scaleable andsubstantial business in this sector is both extremely capital intensive andrequires total operational focus combined with highly specialist expertise."

Video Island, founded in September 2003, runs its ownconsumer brand as well as providing online DVD rentalservices for companies such as Tesco, MSN, ITV and easyGroup.

It claims a library of over 32,000 titles and makes nearly1.5m shipments per month - the online equivalentof 150 high street stores.

According to Screen Digest, the online video rental businesshas expanded dramatically in the last few months and is estimated to be ontrack to represent 15% of the total UK rental sector this year.