Heat oven to 325°F (300°F for dark or nonstick pan). Generously spray bottom only of 10-inch springform pan with baking spray with flour.
In large bowl, beat cake mix, water, olive oil, 1/4 cup wine, 1 tablespoon orange peel and the eggs with electric mixer on low speed 30 seconds, then on medium speed 2 minutes, scraping bowl occasionally. Pour into pan.
Bake 50 to 57 minutes or until toothpick inserted near center comes out clean. (Top of cake may appear dark golden brown and rippled.) Cool completely, about 1 hour.
Carefully run knife around side of pan to loosen; remove side of pan. Transfer cake to serving plate. In medium bowl, stir frosting, 1 1/2 teaspoons orange peel and 1 tablespoon wine until well blended. Frost top and side of cake. Garnish with 1 tablespoon orange peel. Store loosely covered in refrigerator.