SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Schedule 13D
Under the Securities Exchange Act of 1934 (Amendment No. 6 )
AVESIS INCORPORATED
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(Name of issuer)
COMMON STOCK
------------
(Title of Class of Securities)
053650107
---------
(CUSIP Number)
William L. Richter, Richter & Co., Inc.
450 Park Avenue, New York, NY 10022 (212) 421-6300
with copies to:
Joel H. Alperstein, Treasurer, Avesis Incorporated
3724 N. Third St., Suite 300, Phoenix, AZ 85012
(602) 241-3400
--------------------------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notes and Communications)
August 3, 1998
--------------
(Date of Event which Requires
Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box [ ].
(Continued on following page(s))
Page 1 of 8 Pages
<PAGE>
CUSIP No. 053650107 Page 2 of 8 Pages
---------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSONS SS. OR I.R.S. IDENTIFICATION NOS. OF ABOVE
PERSON
William L. Richter
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
(a) [ x ]
(b) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS (See Instructions)
PF
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e)
[ ]
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
Number of 1,695,610 (including shares shown on pages 3-4 hereof)
Shares -----------------------------------------------------------------
Beneficially 8 SHARED VOTING POWER
Owned by
Each -----------------------------------------------------------------
Reporting 9 SOLE DISPOSITIVE POWER
Person 1,695,610 (including shares shown on pages 3-4 hereof)
With -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,695,610
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions)
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
21.4%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN
- --------------------------------------------------------------------------------
<PAGE>
CUSIP No. 053650107 Page 3 of 8 Pages
---------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSONS SS. OR I.R.S. IDENTIFICATION NOS. OF ABOVE
PERSON
Richter & Co., Inc.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
(a) [ x ]
(b) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS (See Instructions)
WC
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e)
[ ]
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
Number of 685,500
Shares -----------------------------------------------------------------
Beneficially 8 SHARED VOTING POWER
Owned by
Each -----------------------------------------------------------------
Reporting 9 SOLE DISPOSITIVE POWER
Person 685,500
With -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
685,500
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions)
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
- --------------------------------------------------------------------------------
<PAGE>
CUSIP No. 053650107 Page 4 of 8 Pages
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- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSONS SS. OR I.R.S. IDENTIFICATION NOS. OF ABOVE
PERSON
Richter Investment Corp.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
(a) [ x ]
(b) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS (See Instructions)
N/A
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e)
[ ]
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
Number of 724,330
Shares -----------------------------------------------------------------
Beneficially 8 SHARED VOTING POWER
Owned by
Each -----------------------------------------------------------------
Reporting 9 SOLE DISPOSITIVE POWER
Person 724,330
With -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
724,330
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions)
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.4%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
- --------------------------------------------------------------------------------
<PAGE>
Item 1. Security and Issuer.
This Statement relates to Common Stock, $.01 par value, of Avesis
Incorporated (the "Issuer"). The principal executive offices of the Issuer are
located at 3724 North Third Street, Suite 300, Phoenix, Arizona 85012.
Item 2. Identity and Background.
This statement is being filed by:
(a) William L. Richter, Richter Investment Corp., a Delaware
Corporation, and Richter & Co., Inc., a Delaware Corporation
(b) Filing person's address: Richter & Co., Inc. 450 Park Avenue,
28th Floor, New York, NY 10022
(c) William L. Richter is President of Richter & Co., Inc., which is
a broker-dealer wholly owned by Richter Investment Corp., a
holding company. The names, residence or business addresses and
present principal occupation or employment of the executive
officers and directors of Richter Investment Corp., and Richter &
Co., Inc. are set forth in Appendix 1 hereto and incorporated
herein by this reference.
(d) To the best of the filing persons knowledge, during the last five
years, none of the persons named in this Item 2 or in Appendix 1
hereto has been convicted in a criminal proceeding (excluding
traffic violations or similar misdemeanors).
(e) To the best of the filing persons knowledge, during the last five
years, none of the persons named in this Item 2 or in Appendix 1
hereto has been or is subject to a judgment, decree or final
order enjoining future violations of, or prohibiting or mandating
activities subject to, federal or state securities laws or
finding any violation with respect to such laws.
(f) Mr. Richter is a citizen of the United States.
Page 5 of 8 Pages
<PAGE>
Item 3. Source and Amount of Funds or Other Consideration.
On August 3, 1998, Mr. Richter exercised stock purchase options for
50,000 shares of the Issuer's Common Stock, at an exercise price of $0.31 per
option, and stock warrants for 109,091 and 50,909 shares of the Issuer's Common
Stock, at exercise prices of $0.31 and $0.26 per warrant, respectively. The
total funds expended, $62,554.55, were the personal funds of Mr. Richter. On
August 3, 1998, Richter & Co., Inc. exercised stock purchase options for 72,500
shares of the Issuer's Common Stock, at an exercise price of $0.31 per option,
and stock warrants for 163,636 and 76,364 shares of the Issuer's Common Stock,
at exercise prices of $0.31 and $0.26 per warrant, respectively. The total funds
expended, $93,056.80, were from the working capital of Richter & Co., Inc.
Item 4. Purpose of Transaction.
All of the Issuer's shares held by William L. Richter, Richter
Investment Corp., Richter & Co., Inc. and the persons listed in Appendix 1 are
held for investment purposes only. Except as described above and that Mr.
Richter is the Co-Chairman ( and a director) of the Issuer's Board of Directors,
none of the above persons has any present plan or proposal that relates to or
would result in any of the actions described in clauses (a) through (j) of Item
4 of Schedule 13D, although such persons may from time to time in the future
acquire or sell shares of Common Stock or securities convertible into Common
Stock. At present, each of such persons contemplates that such additional
shares, if any, would also be purchased for investment purposes only. Statements
as to the persons listed in Appendix 1 are made to the knowledge of the filing
persons.
Item 5. Interest In Securities of the Issuer.
(a) The aggregate number and percentage of Issuer Common Stock
beneficially owned by William L. Richter is 1,695,610 and 21.4%, respectively
(including the securities referred to in the next sentence). Richter Investment
Corp. is the beneficial owner of 724,330 shares or 9.4% of Common Stock
(including the securities referred to in the next sentence). Richter & Co., Inc.
is the beneficial owner of 685,500 shares or 9.0% of Common Stock.
(b) See Items 7 through 10 on the Cover Pages of this Amendment No. 5
to Schedule 13D.
(c) The following transactions were effected since 60 days prior to the
date of the event that requires filing of this statement:
Page 6 of 8 Pages
<PAGE>
(i) On August 3, 1998, Mr. Richter exercised stock purchase options for
50,000 shares of the Issuer's Common Stock, at an exercise price of $0.31 per
option, and stock warrants for 109,091 and 50,909 shares of the Issuer's Common
Stock, at exercise prices of $0.31 and $0.26 per warrant, respectively.
(ii) On August 3, 1998, Richter & Co., Inc. exercised stock purchase
options for 72,500 shares of the Issuer's Common Stock, at an exercise price of
$0.31 per option, and stock warrants for 163,636 and 76,364 shares of the
Issuer's Common Stock, at exercise prices of $0.31 and $0.26 per warrant,
respectively.
(d) Not applicable.
(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships With Respect
to Securities of the Issuer.
Except as set forth above or set forth in the exhibits, there are no
contracts, arrangements, understandings, or relationships between Mr. Richter
and any other person with respect to any securities of the Company
Item 7. Material to be Filed as Exhibits.
1. Stock Purchase Warrant issued to Richter & Co., Inc. dated March 18,
1993 for the purchase of 240,000 shares of the Issuer's Common Stock. *
2. Stock Purchase Warrant issued to William L. Richter dated March 18,
1993 for the purchase of 160,000 shares of the Issuer's Common Stock. *
3. Registration Rights Agreement dated March 18, 1993 among Avesis
Incorporated, National Health Enterprises, Inc., Alan Cohn and Kenneth L. Blum,
Jr. (as referred to in Section 8 of the above Warrants). *
4. Certification of Joint Filing pursuant to Rule 13d-1(f). **
5. Supplemental Agreement to the December 5, 1994 Investment Banking
Agreement. ***
_______________
* Incorporated by reference from Amendment No. 2 to Schedule 13D of the
filing persons, dated March 18, 1993
** Incorporated by reference from Amendment No. 4 to Schedule 13D of the
filing persons, dated November 29, 1994
*** Incorporated by reference from Amendment No. 5 to Schedule 13D of the
filing persons, dated May 27, 1998
Page 7 of 8 Pages
<PAGE>
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.
September 16, 1998
/s/ William L. Richter
-------------------------------
William L. Richter
RICHTER & CO., INC.
By: /s/ William L. Richter
-------------------------------
William L. Richter
President
RICHTER INVESTMENT CORP.
By: /s/ William L. Richter
-------------------------------
William L. Richter
President
Page 8 of 8 Pages
<PAGE>
APPENDIX 1
<TABLE>
<CAPTION>
<S> <C> <C> <C>
1. Richter Investment Corp.
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Directors
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Richard L. Rubin 36 The Crossings Professor of Political Science and
Purchase, NY 10577 Public Policy at Swarthmore College;
President of the Dedalus Foundation,
Inc.; engaged in various investments
William L. Richter 450 Park Avenue Chairman and President of Richter
28th Floor Investment Corp. and Richter & Co.,
New York, NY 10022 Inc.; Co-Chairman of Avesis
Incorporated, Vice-Chairman of
Rent-A-Wreck of America, Inc.;
Senior Managing Director of
Cerberus Management, L.L.C.
Executive Officers
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William L. Richter 450 Park Avenue President
28th Floor
New York, NY 10022
L. Christine Lynch 450 Park Avenue Vice President and Secretary
28th Floor
New York, NY 10022
2. Richter & Co., Inc.
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Directors
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William L. Richter 450 Park Avenue Directors
28th Floor
New York, NY 10022
Executive Officers
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William L. Richter 450 Park Avenue President
28th Floor
New York, NY 10022
L. Christine Lynch 450 Park Avenue Vice President
28th Floor
New York, NY 10022
</TABLE>
