Lala Media, a Palo Alto, Calif. company that lets you trade used CDs for 99 cents, has raised $5.7 million more in a second round of funding, according to a regulatory filing cited by PE Week.
Return backers include Bain Capital Ventures and Ignition Partners. This comes after the company raised $9 million last year.
The company operates sort of like a marketplace where you can list the CDs you have and the ones you want, and it then looks for a way to trade with another user. It also has a system of recommending CDs you might be interested in.
It says has 200,000 members. It’s difficult to understand why this sort of company merits so much cash. Maybe we’re missing something.
Lala sends a prepaid envelope to you to mail the CD, which costs you another 75 cents.