<PAGE> 1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
(Amendment No. )*
WatchGuard Technologies, Inc.
-----------------------------------------------------
(Name of Issuer)
Common Stock, $.001 par value per share
-----------------------------------------------------
(Title of Class of Securities)
941105 10 8
--------------------
(CUSIP Number)
December 31, 1999
---------------------------------------------------------
(Date of Event Which Requires Filing of this Statement)
Check the appropriate box to designate the rule pursuant to which this Schedule
is filed:
/ / Rule 13d-1(b)
/ / Rule 13d-1(c)
/ X/ Rule 13d-1(d)
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter the
disclosures provided in a prior cover page.
The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
POTENTIAL PERSONS WHO ARE TO RESPOND TO THE COLLECTION OF INFORMATION CONTAINED
IN THIS FORM ARE NOT REQUIRED TO RESPOND UNLESS THE FORM DISPLAYS A CURRENTLY
VALID OMB CONTROL NUMBER.
<PAGE> 2
CUSIP NO. 941105 10 8
...............................................................................
1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
Matrix Partners IV, L.P. (04-3260303)
...............................................................................
- -------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a) ......................................................................
(b) ......................................................................
- -------------------------------------------------------------------------------
3. SEC Use Only .............................................................
- -------------------------------------------------------------------------------
4. Citizenship or Place of Organization ............................. Delaware
- -------------------------------------------------------------------------------
Number of 5. Sole Voting Power ........................... -2,762,876-
Shares
Beneficially
Owned by Each
Reporting
Person With:
------------------------------------------------------------
6. Shared Voting Power ................................. -0-
------------------------------------------------------------
7. Sole Dispositive Power ...................... -2,762,876-
------------------------------------------------------------
8. Shared Dispositive Power .......................... -0-
- -------------------------------------------------------------------------------
9. Aggregate Amount Beneficially Owned by Each Reporting Person ... -2,762,876-
- -------------------------------------------------------------------------------
10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See
Instructions) ........................................................
- -------------------------------------------------------------------------------
11. Percent of Class Represented by Amount in Row (9) ................. 14.16%
- -------------------------------------------------------------------------------
12. Type of Reporting Person (See Instructions) ........................ PN
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................................................................................
................................................................................
................................................................................
................................................................................
................................................................................
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Page 2 of 9 pages
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CUSIP NO. 941105 10 8
...............................................................................
1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
Matrix IV Entrepreneurs Fund, L.P. (04-3293062)
...............................................................................
- -------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a) ........................................................................
(b) ........................................................................
- -------------------------------------------------------------------------------
3. SEC Use Only ................................................................
- -------------------------------------------------------------------------------
4. Citizenship or Place of Organization .............................. Delaware
- -------------------------------------------------------------------------------
Number of 5. Sole Voting Power ............................ -145,415-
Shares
Beneficially
Owned by Each
Reporting
Person With:
------------------------------------------------------------
6. Shared Voting Power ................................... 0
------------------------------------------------------------
7. Sole Dispositive Power ...................... -145,415-
------------------------------------------------------------
8. Shared Dispositive Power .......................... -0-
- -------------------------------------------------------------------------------
9. Aggregate Amount Beneficially Owned by Each Reporting Person ..... -145,415-
- -------------------------------------------------------------------------------
10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See
Instructions) ...............................................................
- -------------------------------------------------------------------------------
11. Percent of Class Represented by Amount in Row (9) ................. .0.75%
- -------------------------------------------------------------------------------
12. Type of Reporting Person (See Instructions) .......................... PN
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................................................................................
................................................................................
................................................................................
................................................................................
................................................................................
................................................................................
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Page 3 of 9 pages
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CUSIP NO. 941105 10 8
...............................................................................
1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
Matrix IV Management Co. L.P. (04-3260294)
...............................................................................
- -------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a) .........................................................................
(b) .........................................................................
- -------------------------------------------------------------------------------
3. SEC Use Only ................................................................
- -------------------------------------------------------------------------------
4. Citizenship or Place of Organization .............................. Delaware
- -------------------------------------------------------------------------------
Number of 5. Sole Voting Power .......................... -2,908,291-
Shares
Beneficially
Owned by Each
Reporting
Person With:
------------------------------------------------------------
6. Shared Voting Power ................................. -0-
------------------------------------------------------------
7. Sole Dispositive Power ....................... -2,908,291-
------------------------------------------------------------
8. Shared Dispositive Power ........................... -0-
- -------------------------------------------------------------------------------
9. Aggregate Amount Beneficially Owned by Each Reporting Person .... -2,908,291-
- -------------------------------------------------------------------------------
10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See
Instructions) ...............................................................
- -------------------------------------------------------------------------------
11. Percent of Class Represented by Amount in Row (9) ................ 14.91%
- -------------------------------------------------------------------------------
12. Type of Reporting Person (See Instructions) ........................... PN
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...............................................................................
...............................................................................
...............................................................................
...............................................................................
...............................................................................
...............................................................................
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Page 4 of 9 pages
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CUSIP NO. 941105 10 8
...............................................................................
1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
Andrew W. Verhalen (###-##-####)
...............................................................................
- -------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a) .........................................................................
(b) .........................................................................
- --------------------------------------------------------------------------------
3. SEC Use Only ................................................................
- --------------------------------------------------------------------------------
4. Citizenship or Place of Organization ......................... United States
- --------------------------------------------------------------------------------
Number of 5. Sole Voting Power ............................ -2,908,291-
Shares
Beneficially
Owned by Each
Reporting
Person With:
-------------------------------------------------------------
6. Shared Voting Power ................................. -0-
-------------------------------------------------------------
7. Sole Dispositive Power ....................... -2,908,291-
-------------------------------------------------------------
8. Shared Dispositive Power .......................... -0-
- --------------------------------------------------------------------------------
9. Aggregate Amount Beneficially Owned by Each Reporting Person .... -2,908,291-
- --------------------------------------------------------------------------------
10. Check if the Aggregate Amount in Row (9) Excludes Certain Shares (See
Instructions) ...............................................................
- --------------------------------------------------------------------------------
11. Percent of Class Represented by Amount in Row (9) ................. 14.91%
- --------------------------------------------------------------------------------
12. Type of Reporting Person (See Instructions) ........................... IN
- --------------------------------------------------------------------------------
...............................................................................
...............................................................................
...............................................................................
...............................................................................
...............................................................................
...............................................................................
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Page 5 of 9 pages
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CUSIP NO. 941105 10 8
Item 1(a) Name of Issuer:
WatchGuard Technologies, Inc.
Item 1(b) Address of Issuer's Principal Executive Offices:
316 Occidental Avenue South, Suite 300
Seattle, WA 98104
Item 2(a) Name of Persons Filing:
Matrix Partners IV, L.P. ("Matrix IV"); Matrix IV
Entrepreneurs Fund, L.P. ("Entrepreneurs", and together with
Matrix IV, the "Partnerships"); Matrix IV Management Co., L.P.
("Management"), the general partner of each of the
Partnerships; and Andrew W. Verhalen ("Verhalen"), the General
Partner of Management, who has sole voting and dispositive
authority with respect to shares of WatchGuard Technologies,
Inc. held of record by the Partnerships.
Item 2(b) Address of Principal Business Office or, if none,
Residence:
The address of the reporting persons is:
1000 Winter Street, Suite 4500
Waltham, MA 02451
Item 2(c) Citizenship:
Matrix IV is a limited partnership organized under the laws of
the State of Delaware. Entrepreneurs is a limited partnership
organized under the laws of the State of Delaware. Management
is a limited partnership organized under the laws of the State
of Delaware. Mr. Verhalen is a citizen of the United States.
Item 2(d) Title of Class of Securities:
Common Stock, par value $.001 per share (the "Common Stock").
Item 2(e) CUSIP Number:
941105 10 8
Item 3 Description of Person Filing:
Not applicable.
Item 4 Ownership(1):
(a) Amount Beneficially Owned:
Matrix IV is the record holder of 2,762,876 shares of
Common Stock and may be deemed to beneficially own the
2,762,876 shares of Common Stock held of record by it.
Entrepreneurs is the record holder of 145,415 shares of
Common Stock and may be deemed to beneficially own the
145,415 shares of Common
- ------------------------------
1 As of December 31, 1999.
Page 6 of 9 pages
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CUSIP NO. 941105 10 8
Stock held of record by it. Management, as general partner of
the Partnerships, may be deemed to beneficially own the
2,908,291 shares of Common Stock held of record by the
Partnerships. Mr. Verhalen, as the general partner who has
sole voting and dispositive authority with respect to shares
of WatchGuard Technologies, Inc. held of record by the
Partnerships, may be deemed to beneficially own the 2,908,291
shares of Common Stock held of record by the Partnerships. The
filing of this statement shall not be construed as an
admission that any of the reporting persons are, for the
purpose of Section 13(d) or 13(g) of the Act, the beneficial
owners of any securities covered under this statement.
(b) Percent of Class:
Matrix IV: 14.16%
Entrepreneurs: 0.75%
Management: 14.91%
Verhalen: 14.91%
(c) Number of Shares as to which the person has:
(i) sole voting power; (ii) shared voting power; (iii) sole
dispositive power; (iv) shared dispositive power:
Matrix IV may be deemed to have sole power to vote and dispose
of 2,762,876 shares of Common Stock held of record by it.
Entrepreneurs may be deemed to have sole power to vote and
dispose of 145,415 shares of Common Stock held of record by
it. Management, as general partner of the Partnerships, may be
deemed to have sole power to vote and dispose of the 2,908,291
shares of Common Stock held of record by the Partnerships. Mr.
Verhalen, as the general partner of Management who has sole
voting and dispositive authority with respect to shares of
WatchGuard Technologies, Inc. held of record by the
Partnerships, may be deemed to have sole power to vote the
2,908,291 shares of Common Stock held of record by the
Partnerships.
Item 5 Ownership of Five Percent or Less of a Class:
Not applicable.
Item 6 Ownership of More than Five Percent on Behalf of
Another Person:
Not applicable.
Item 7 Identification and Classification of the Subsidiary Which
Acquired the Security Being Reported on By the Parent
Holding Company:
Not applicable.
Item 8 Identification and Classification of Members of
the Group:
Not applicable.
Item 9 Notice of Dissolution of Group:
Page 7 of 9 pages
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CUSIP NO. 941105 10 8
Not applicable.
Item 10 Certification:
Not applicable.
Page 8 of 9 pages
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CUSIP NO. 941105 10 8
SIGNATURE
After reasonable inquiry and to the best of the knowledge and belief of each of
the undersigned, each of the undersigned hereby certifies that the information
set forth in this statement is true, complete and correct.
DATED: February 10, 2000
MATRIX PARTNERS IV, L.P.
By: Matrix IV Management Co., L.P.
General Partner
By: /s/ Andrew W. Verhalen
-----------------------------------
Andrew W. Verhalen
General Partner
MATRIX IV ENTREPRENEURS FUND, L.P.
By: Matrix IV Management Co., L.P.
General Partner
By: /s/ Andrew W. Verhalen
-----------------------------------
Andrew W. Verhalen
General Partner
MATRIX IV MANAGEMENT CO., L.P.
By: Andrew W. Verhalen
General Partner
By: /s/ Andrew W. Verhalen
-----------------------------------
General Partner
/s/ Andrew W. Verhalen
------------------------------------
Andrew W. Verhalen
Page 9 of 9 pages
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CUSIP NO. 941105 10 8
Exhibit I
AGREEMENT
Pursuant to Rule 13d-1(f)(1) under the Securities Exchange Act of 1934,
as amended, the undersigned hereby agree that only one statement containing the
information required by Schedule 13G need be filed with respect to the ownership
by each of the undersigned of the shares of Common Stock of WatchGuard
Technologies, Inc.
EXECUTED as a sealed instrument this 10th day of February, 2000.
MATRIX PARTNERS IV, L.P.
By: Matrix IV Management Co., L.P.
General Partner
By: /s/ Andrew W. Verhalen
-----------------------------------
Andrew W. Verhalen
General Partner
MATRIX IV ENTREPRENEURS FUND, L.P.
By: Matrix IV Management Co., L.P.
General Partner
By: /s/ Andrew W. Verhalen
----------------------------------
Andrew W. Verhalen
General Partner
MATRIX IV MANAGEMENT CO., L.P.
By: Andrew W. Verhalen
General Partner
By: /s/ Andrew W. Verhalen
-----------------------------------
General Partner
/s/ Andrew W. Verhalen
------------------------------------
Andrew W. Verhalen
