<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
- --------------------------------------------------------------------------------
Schedule 14D-1
Tender Offer Statement Pursuant to Section 14(d)(1)
of the Securities Exchange Act of 1934
(AMENDMENT NO. 2)
- --------------------------------------------------------------------------------
PROMETHEUS INCOME PARTNERS
(Name of Subject Company)
PROM INVESTMENT PARTNERS L.L.C.
(Bidder)
UNITS OF LIMITED PARTNERSHIP INTEREST
(Title of Class
of Securities)
742941 10 7
(CUSIP Number of Class
of Securities)
- --------------------------------------------------------------------------------
W. Edward Scheetz
Prom Investment Partners L.L.C.
1301 Avenue of the Americas, 38th Floor
New York, NY 10019
Copy to:
Peter M. Fass
Steven L. Lichtenfeld
Battle Fowler LLP
75 East 55th Street
New York, NY 10022
(212) 856-7000
(Name, Address and Telephone Number of
Person Authorized to Receive Notices and
Communications on Behalf of Bidder)
Calculation of Filing Fee
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Transaction Amount of
Valuation* Filing Fee
- -------------------------- --------------------------
<S> <C>
$4,275,000 $855.00
- --------------------------------------------------------------------------------
</TABLE>
*For purposes of calculating the filing fee only. This amount assumes
the purchase of 9,000 units of limited partnership interest ("Units") of the
subject company for $475 per Unit in cash.
{X} Check box if any part of the fee is offset as provided by Rule
0-11(a)(2) and identify the filing with which the offsetting
fee was previously paid. Identify the previous filing by
registration statement number, or the Form or Schedule and
date of its filing.
Amount previously paid: 855.00
Form or registration no.: Schedule 14D-1
Filing party: Prom Investment Partners L.L.C.
Date filed: October 18, 1996
(Continued on following pages)
(Page 1 of 5 pages)
<PAGE> 2
Cusip No.: 742941 10 7 14D-1 Page 2 of 5
<TABLE>
<S> <C> <C>
- ----------------------------------------------------------------------------------------------------------------
1. Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
PROM INVESTMENT PARTNERS L.L.C.
- ----------------------------------------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group
(See Instructions)
(a) { }
(b) { }
- ----------------------------------------------------------------------------------------------------------------
3. SEC Use Only
- ----------------------------------------------------------------------------------------------------------------
4. Sources of Funds (See Instructions)
AF; WC
- ----------------------------------------------------------------------------------------------------------------
5. Check Box if Disclosure of Legal Proceedings is Required Pursuant to Item 2(e) or 2(f)
[ ]
- ----------------------------------------------------------------------------------------------------------------
6. Citizenship or Place of Organization
Delaware
- ----------------------------------------------------------------------------------------------------------------
7. Aggregate Amount Beneficially Owned by Each Reporting Person
5 Units of Limited Partnership Interest
- ----------------------------------------------------------------------------------------------------------------
8. Check Box if the Aggregate Amount in Row (7) Excludes
Certain Shares (See Instructions)
[ ]
- ----------------------------------------------------------------------------------------------------------------
9. Percent of Class Represented by Amount in Row (7)
Less than 1%
- ----------------------------------------------------------------------------------------------------------------
10. Type of Reporting Person (See Instructions)
OO
</TABLE>
<PAGE> 3
AMENDMENT NO. 2 TO SCHEDULE 14D-1
This Amendment No. 2 amends the Tender Offer Statement on Schedule
14D-1 filed by Prom Investment Partners L.L.C., a Delaware limited liability
company (the "Purchaser"), with the Securities and Exchange Commission on
October 18, 1996, as amended by Amendment No. 1 filed on November 12, 1996,
relating to the tender offer by the Purchaser to purchase up to 9,000 of the
issued and outstanding units of limited partnership interest ("Units") of
Prometheus Income Partners, a California limited partnership (the
"Partnership"), to include the information set forth below. Terms not
otherwise defined herein shall have the meaning ascribed to them in the
Schedule 14D-1 and the Offer to Purchase.
ITEM 3. PAST CONTACTS, TRANSACTIONS OR NEGOTIATIONS WITH THE SUBJECT
COMPANY.
Item 3(b) is hereby supplemented and amended as follows:
Since November 18, 1996, PIP, the Partnership and the
Purchaser have discussed elements of a possible settlement agreement
of the pending litigation between the Partnership and the Purchaser,
which settlement may include, among other things, a possible joint
tender offer by PIP and the Purchaser for Units. No assurance can be
made, however, that any settlement of this litigation will be effected
at this time or at all.
ITEM 10. ADDITIONAL INFORMATION.
Item 10(f) is hereby supplemented and amended as follows:
The information set forth in the press release dated November 27,
1996, a copy of which is attached hereto as Exhibit (a)(10), is incorporated
herein in its entirety by reference.
ITEM 11. MATERIAL TO BE FILED AS EXHIBITS.
Item 11 is hereby supplemented and amended by adding the following,
a copy of which is attached hereto as an exhibit:
99.(a)(10) Press Release dated November 27, 1996.
3
<PAGE> 4
SIGNATURES
After due 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.
Dated: November 27, 1996
PROM INVESTMENT PARTNERS L.L.C.
By: AP-GP Prom Partners Inc., its
managing member
By: /s/ Richard Mack
-----------------------------
Name: Richard Mack
Title: Vice President
4
<PAGE> 5
EXHIBIT INDEX
-------------
<TABLE>
<CAPTION>
EXHIBIT NO. TITLE
- ----------- -----
<S> <C>
99.(a)(10) Press Release dated November 27, 1996
</TABLE>
5
<PAGE> 1
FOR IMMEDIATE RELEASE
Contact: The Herman Group, Inc.
800-992-6176
Attention: Sherri Herman
PROM INVESTMENT PARTNERS EXTENDS OFFER
NEW YORK, NEW YORK (November 27, 1996) -- PROM INVESTMENT PARTNERS
L.L.C. has announced that its offer to purchase outstanding units of limited
partnership interest of Prometheus Income Partners (the "Partnership") for $475
per Unit has been extended and is now scheduled to expire at 12:00 midnight,
New York City time, on December 4, 1996. As of the close of business on
November 26, 1996, Prom Investment Partners reasonably believed that
approximately 698 Units had been tendered to it and not withdrawn.
For additional information, contact The Herman Group, Inc., the
Information Agent/Depositary for Offer by Prom Investment Partners, at
800-992-6176.
