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Prospectus Supplement No. 1 Dated November 1, 2000
(To Prospectus Dated October 27, 2000)
Filed Pursuant to
Rule 424(b)(3) and (c)
Commission File No. 333-42522
3,010,486 SHARES
[LOGO]
KANA COMMUNICATIONS, INC.
COMMON STOCK
This Prospectus Supplement No. 1 (the "Prospectus Supplement")
supplements our Prospectus dated October 27, 2000 (the "Prospectus") relating to
the sale by certain of our current stockholders, or by pledgees, donees,
transferees, assignees or other successors in interest that receive such shares
as a gift, partnership distribution or other non-sale related transfer (the
"Selling Stockholders"), of up to 3,010,486 shares of our common stock that were
issued in connection with our mergers with Business Evolution, Inc. and
netDialog, Inc. in December 1999.
Any statement contained in the Prospectus shall be deemed to
be modified or superseded to the extent that information in this Prospectus
Supplement modifies or supersedes such statement. Any statement that is modified
or superseded shall not be deemed to constitute a part of the Prospectus except
as modified or superseded by this Prospectus Supplement.
This Prospectus Supplement should be read in conjunction with,
and may not be delivered or utilized without, the Prospectus. This Prospectus
Supplement is qualified by reference to the Prospectus except to the extent that
information herein contained supersedes the information contained in the
Prospectus. Capitalized terms used in this Prospectus Supplement and not
otherwise defined herein have the meanings specified in the Prospectus.
SELLING STOCKHOLDERS
The table captioned "Selling Stockholders" commencing on page
19 of the Prospectus is hereby amended to reflect the addition of Footnote (5).
Footnote (5) below sets forth the transferees of one of our stockholders who
were not specifically identified in the
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Prospectus as Selling Stockholders. The Prospectus is hereby amended to include
these transferees, identified in Footnote (5), as Selling Stockholders.
<TABLE>
<CAPTION>
Number of Shares of Percent of Outstanding Number of Shares of
Common Stock Shares Beneficially Common Stock
Name of Selling Stockholder Beneficially Owned Owned Registered for Sale
------------------------------------- ------------------- ---------------------- --------------------
<S> <C> <C> <C>
VLG Investments 1999 (1)(5).......... 13,944 * 13,944
</TABLE>
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* Less than one percent.
(1) Former Business Evolution, Inc. stockholder.
(5) In October 2000, the shares held by VLG Investments 1999 were transferred
and distributed to Elias J. Blawie; Kenneth D. Cramer; Cathryn S. Chinn;
Laura A. Donald; Craig W. Johnson; Mark A. Medearis; Tae Hea Nahm; Mark
B. Weeks; Renee R. Deming; Donald M. Keller, Jr.; David C. Lee; Mark
Windfeld-Hansen; Christine A. Tomomatsu; Joshua L. Green; Kate West
Rowan; Jeffrey Y. Suto; John V. Bautista; Kara Diane Palmer;
Sonya F. Erickson; Jon Eric Gavenman; Edmund S. Ruffin; Craig E. Sherman;
Glen R. Van Ligten; Steven Tonsfeldt; Christopher J. Hurley; Michael A.
Morrissey; Mark J. Handfelt; John B. Duncan; Laurel H. Finch; David M.
Jargiello; Keith A. Miller; John H. Sellers; Thomas H. Tobiason; Karen L.
Chin; and VLG Investments 1999.
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