<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
(Amendment No. 1)
NovaStar Financial, Inc.
- ----------------------------------------------------------------------
(Name of Issuer)
Common Stock, par value $0.01
- ----------------------------------------------------------------------
(Title of Class of Securities)
669947-40-0
-----------------------
(CUSIP Number)
March 10, 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)
[X] Rule 13d-1(c)
[ ] Rule 13d-1(d)
Page 1 of 5 pages
<PAGE>
CUSIP No. 669947-40-0 13G Page 2 of 5 Pages
- ----------------------------------------------------------------------
1 Name of Reporting Person
I.R.S. Identification No. of above person (entities only)
General Motors Corporation, as Parent Holding Company of
Residential Funding Corporation
- ----------------------------------------------------------------------
2 Check the Appropriate Box if a Member of a Group
(a) [ ]
(b) [ ]
- ----------------------------------------------------------------------
3 SEC Use Only
- ----------------------------------------------------------------------
4 Citizenship or Place of Organization
Delaware
- -----------------------------------------------------------------------
5 Sole Voting Power
1,177,713 shares
Number of -----------------------------------------------
Shares 6 Shared Voting Power
Beneficially
Owned by - 0 -
Each -----------------------------------------------
Reporting 7 Sole Dispositive Power
Person
With 1,177,713 shares
-----------------------------------------------
8 Shared Dispositive Power
- 0 -
- ----------------------------------------------------------------------
9 Aggregate Amount Beneficially Owned by Each Reporting Person
1,177,713 shares
- ----------------------------------------------------------------------
10 Check if the Aggregate Amount in Row (9) Excludes Certain
Shares [ ]
- ----------------------------------------------------------------------
11 Percent of Class Represented by Amount in Row (9)
12.6%
- ----------------------------------------------------------------------
12 Type of Reporting Person
CO
- ----------------------------------------------------------------------
<PAGE>
Item 1.
(a) Name of Issuer:
NovaStar Financial, Inc. (the "Issuer")
(b) Address of Issuer's Principal Executive Offices:
1900 West 47th Place, Suite 105
Westwood, Kansas 66205
Item 2.
(a) Name of Person Filing:
General Motors Corporation, a Delaware corporation ("GM"), as Parent
Holding Company of Residential Funding Corporation, a Delaware
corporation and an indirect subsidiary of GM ("RFC").
(b) Address of Principal Executive Office:
100 Renaissance Center, Detroit, Michigan 48265-1000
(c) Citizenship:
Delaware corporation
(d) Title of Class of Securities:
Common Stock, par value $0.01
(e) CUSIP Number:
669947-40-0
Item 3. If this statement is filed pursuant to sections 240.13d-1(b) or
240.13d-2(b) or (c), check whether the person filing is a(n):
(a) [ ] Broker or dealer registered under section 15 of the
Act (15 U.S.C. 78o);
(b) [ ] Bank as defined in section 3(a)(6) of the Act (15 U.S.C. 78c);
(c) [ ] Insurance company as defined in section 3(a)(19) of
the Act (15 U.S.C. 78c);
(d) [ ] Investment company registered under section 8 of the
Investment Company Act (15 U.S.C. 80a-8);
(e) [ ] Investment adviser in accordance with section
240.13d-1(b)(1)(ii)(E);
(f) [ ] Employee benefit plan or endowment fund in accordance
with section 240.13d-1(b)(1)(ii)(F);
(g) [ ] Parent holding company or control person in accordance
with section 240.13d-1(b)(ii)(G);
(h) [ ] Savings association as defined in section 3(b) of the
Federal Deposit Insurance Act (12 U.S.C. 1813);
Page 3 of 5 pages
<PAGE>
(i) [ ] Church plan that is excluded from the definition of an
investment company under Section 3(c)(14) of the
Investment Company Act of 1940 (15 U.S.C. 80a-3);
(j) [ ] Group, in accordance with Section 240.13d-1(b)(1)(ii)(J)
If this statement is filed pursuant to Section 240.13d-1(c), check
this box [X]
Item 4. Ownership
(a) Amount Beneficially Owned:
GM, as Parent Holding Company of RFC, may be deemed to beneficially
own 1,177,713 shares of Common Stock, par value $0.01, of the Issuer
("Common Stock"), which shares may be deemed to be beneficially owned
by RFC as a result of that certain Warrant Agreement, dated March 10,
1999, between the Issuer and RFC, pursuant to which the Issuer issued
to RFC two warrants, which are exercisable into a total of 1,177,713
shares of common stock.
(b) Percent of Class:
12.6% (as of March 10, 1999, based on information provided to RFC
by the Issuer)
(c) Number of shares as to which such person has:
(i) sole power to vote or to direct the vote:
See response to Item 4(a) above.
(ii) shared power to vote or to direct the vote:
None.
(iii) sole power to dispose or to direct the disposition of:
See response to Item 4(a) above.
(iv) shared power to direct the disposition of:
None.
Item 5. Ownership of Five Percent or Less of a Class
If this statement is being filed to report the fact that as of the
date hereof the reporting person has ceased to be the
Page 4 of 5 pages
<PAGE>
beneficial owner of more than five percent of the class of securities,
check the following [ ].
Item 6. Ownership of More than Five Percent on Behalf of Another Person
N/A
Item 7. Identification and Classification of the Subsidiary Which Acquired the
Security Being Reported on By the Parent Holding Company
See Exhibit I
Item 8. Identification and Classification of Members of the Group
N/A
Item 9. Notice of Dissolution of Group
N/A
Item 10. Certification
By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were not acquired and are not
held for the purpose of or with the effect of changing or influencing
the control of the issuer of the securities and were not acquired and
are not held in connection with or as a participant in any transaction
having that purpose or effect.
SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Date: March 19, 1999 GENERAL MOTORS CORPORATION, as
Parent Holding Company of
Residential Funding Corporation
By: /s/ Martin I. Darvick
-------------------------------
Name: Martin I. Darvick
Title: Assistant Secretary
Page 5 of 5 pages
<PAGE>
Exhibit I
The Schedule 13G to which this Exhibit I is attached is being filed by General
Motors Corporation ("GM") as Parent Holding Company of Residential Funding
Corporation, a Delaware corporation ("RFC"). RFC is a subsidiary of GMAC RF,
Inc., a Michigan corporation, which is a subsidiary of GMAC Mortgage Group,
Inc., a Michigan corporation, which is a subsidiary of General Motors Acceptance
Corporation, a Delaware corporation, which is a subsidiary of GM.
