<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13G
(Rule 13d-102)
Information Statement Pursuant to Rules 13d-1 and 13d-2
Under the Securities Exchange Act of 1934
(Amendment No. __)*
Shop At Home, Inc.
--------------------------------------------------------------------------------
(Name of Issuer)
Common Stock
--------------------------------------------------------------------------------
(Title of Class of Securities)
825066301
-----------------------------------------
(CUSIP Number)
June 30, 2000
----------------------------------------------------
Date of Event Which Requires Filing of the 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)
*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
disclosures provided in a prior cover page.
The information required on 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).
Page 1 of 17
<PAGE>
CUSIP NO. 825066301 13G Page 2 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name HFTP Investment L.L.C.
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited liability company
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5 0
NUMBER OF -----------------------------------------------------------
SHARED VOTING POWER
SHARES 1,000 shares of Series B Convertible Preferred Stock
(convertible into 2,470,004 shares of Common
BENEFICIALLY 6 Stock)/1/ /2/
Warrants to purchase shares of Common Stock
OWNED BY (exercisable into 1,000,000 shares of Common Stock)/2/
EACH -----------------------------------------------------------
SOLE DISPOSITIVE POWER
REPORTING 7 0
PERSON
-----------------------------------------------------------
WITH SHARED DISPOSITIVE POWER
8 See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9 See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
10 (SEE INSTRUCTIONS)
[X]
CERTAIN SHARES*/2/
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11 Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12 OO
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 2 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 3 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Promethean Asset Management, L.L.C.
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
(a) [X]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited liability company
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 6 1,000 shares of Series B Convertible Preferred Stock
(convertible into 2,470,004 shares of Common
OWNED BY Stock)/1/ /2/
Warrants to purchase shares of Common Stock
EACH (exercisable into 1,000,000 shares of Common
Stock)/2/
REPORTING -----------------------------------------------------------
SOLE DISPOSITIVE POWER
PERSON 7
0
WITH
-----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN
10 SHARES/2/ (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11 Approximately 9.99% as of the date of filing of this statement. (Based
on 31,264,772 shares of Common Stock issued and outstanding as of
June 30, 2000, plus the shares of Common Stock issuable upon the
conversion of the Series B Convertible Preferred Stock and exercise of
the Warrants referred to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
OO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 3 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 4 of 16 Pages
--------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name James F. O'Brien, Jr.
--------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [X]
(b) [_]
--------------------------------------------------------------------------------
SEC USE ONLY
3
--------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
U.S. Citizen
U.S.A.
--------------------------------------------------------------------------------
SOLE VOTING POWER
5
0
NUMBER OF
--------------------------------------------------------------
SHARES SHARED VOTING POWER
6
BENEFICIALLY 1,000 shares of Series B Convertible Preferred Stock
(convertible into 2,470,004 shares of Common
OWNED BY Stock)/1/ /2/
Warrants to purchase shares of Common Stock
EACH (exercisable into 1,000,000 shares of Common
Stock)/2/
REPORTING --------------------------------------------------------------
SOLE DISPOSITIVE POWER
PERSON 7
0
WITH
--------------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
--------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
--------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
--------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
--------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
IN; HC
--------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate of
6.0% per annum, payable semiannually for the first year and quarterly thereafter
in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 4 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 5 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Promethean Investment Group, L.L.C.
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
New York limited liability company
U.S.A
------------------------------------------------------------------------------
SOLE VOTING POWER
5
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 6
1,000 shares of Series B Convertible Preferred Stock
OWNED BY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
EACH Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
REPORTING Stock)/2/
-----------------------------------------------------------
PERSON SOLE DISPOSITIVE POWER
7
WITH 0
-----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
OO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 5 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 6 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name HFTP Managers LLC
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited liability company
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
0
NUMBER OF -----------------------------------------------------------
SHARED VOTING POWER
SHARES 6
1,000 shares of Series B Convertible Preferred Stock
BENEFICIALLY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
OWNED BY Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
EACH Stock)/2/
-----------------------------------------------------------
REPORTING SOLE DISPOSITIVE POWER
7
PERSON 0
WITH -----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
OO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 6 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 7 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Heracles Fund
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Cayman Islands corporation
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
0
NUMBER OF -----------------------------------------------------------
SHARED VOTING POWER
SHARES 6
1,000 shares of Series B Convertible Preferred Stock
BENEFICIALLY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
OWNED BY Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
EACH Stock)/2/
-----------------------------------------------------------
REPORTING SOLE DISPOSITIVE POWER
7
PERSON 0
WITH -----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
CO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 7 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 8 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Promethean Managers LLC
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited liability company
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
0
NUMBER OF -----------------------------------------------------------
SHARED VOTING POWER
SHARES 6
1,000 shares of Series B Convertible Preferred Stock
BENEFICIALLY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
OWNED BY Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
EACH Stock)/2/
-----------------------------------------------------------
REPORTING SOLE DISPOSITIVE POWER
7
PERSON 0
WITH -----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
OO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 8 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 9 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Themis Managers LLC
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited liability company
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 6
1,000 shares of Series B Convertible Preferred Stock
OWNED BY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
EACH Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
REPORTING Stock)/2/
-----------------------------------------------------------
PERSON SOLE DISPOSITIVE POWER
7
WITH 0
-----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
OO; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 9 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 10 of 16 Pages
------------------------------------------------------------------------------
NAMES OF REPORTING PERSONS.
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY).
Name Themis Partners L.P.
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
2 (a) [x]
(b) [_]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
4
Delaware limited partnership
U.S.A.
------------------------------------------------------------------------------
SOLE VOTING POWER
5
NUMBER OF 0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 6
1,000 shares of Series B Convertible Preferred Stock
OWNED BY (convertible into 2,470,004 shares of Common
Stock)/1/ /2/
EACH Warrants to purchase shares of Common Stock
(exercisable into 1,000,000 shares of Common
REPORTING Stock)/2/
-----------------------------------------------------------
PERSON SOLE DISPOSITIVE POWER
7
WITH 0
-----------------------------------------------------------
SHARED DISPOSITIVE POWER
8
See Row 6 above.
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9
See Row 6 above.
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES/2/
10 (SEE INSTRUCTIONS)
[X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
11
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30,
2000, plus the shares of Common Stock issuable upon the conversion of the
Series B Convertible Preferred Stock and exercise of the Warrants referred
to in Row 6 above.)
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
12
PN; HC
------------------------------------------------------------------------------
/1/The Series B Convertible Preferred Stock also accrues dividends at a rate
of 6.0% per annum, payable semiannually for the first year and quarterly
thereafter in cash or Common Stock, at the discretion of the Issuer.
/2/See Footnote 2 in Item 4.
Page 10 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 11 of 16 Pages
Item 1(a) Name of Issuer: SHOP AT HOME, INC.
1(b) Address of Issuer's Principal Executive Offices:
Shop At Home, Inc.
5388 Hickory Hollow Parkway
Antioch, Tennessee 37013
Item 2(a) Name of Person Filing
Item 2(b) Address of Principal Business Office
Item 2(c) Citizenship
HFTP Investment L.L.C.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited liability company
Promethean Asset Management, L.L.C.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited liability company
James F. O'Brien, Jr.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
U.S. Citizen
Promethean Investment Group, L.L.C.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
New York limited liability company
HFTP Managers LLC
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited liability company
Heracles Fund
c/o Promethean Asset Management, L.L.C.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Cayman Island corporation
Page 11 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 12 of 16 Pages
Promethean Managers LLC
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited liability company
Themis Managers LLC
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited liability company
Themis Partners L.P.
750 Lexington Avenue, 22/nd/ Floor
New York, New York 10022
Delaware limited partnership
2(d) Title of Class of Securities:
Common Stock, par value $0.0025 per share
2(e) CUSIP Number: 8250066301.
Item 3 If this statement is filed pursuant to Rules 13d-1(b), or 13d-2(b) or
(c), check whether the person filing is a:
(a) [__] Broker or dealer registered under Section 15 of the Exchange
Act;
(b) [__] Bank as defined in Section 3(a)(6) of the Exchange Act;
(c) [__] Insurance company as defined in Section 3(a)(19) of the Exchange
Act;
(d) [__] Investment company registered under Section 8 of the Investment
Company Act;
(e) [__] An investment adviser in accordance with Rule
13d-1(b)(1)(ii)(E);
(f) [__] An employee benefit plan or endowment fund in accordance with
Rule 13d-1(b)(1)(ii)(F);
(g) [__] A parent holding company or control person in accordance with
Rule 13d-1(b)(ii)(G);
Page 12 of 16
<PAGE>
CUSIP NO. 825066301 13G Page 13 of 16 Pages
(h) [__] A savings association as defined in Section 3(b) of the Federal
Deposit Insurance Act;
(i) [__] A church plan that is excluded from the definition of an
investment company under Section 3(c)(14) of the Investment
Company Act;
(j) [__] Group, in accordance with Rule 13d-1(b)(1)(ii)(J).
If this statement is filed pursuant to Rule 13d-1(c), check this box. [x]
Item 4 Ownership:
HFTP INVESTMENT L.L.C.
PROMETHEAN ASSET MANAGEMENT, L.L.C.
JAMES F. O'BRIEN, JR.
PROMETHEAN INVESTMENT GROUP, L.L.C.
HFTP MANAGERS LLC
HERACLES FUND
PROMETHEAN MANAGERS LLC
THEMIS MANAGERS LLC
THEMIS PARTNERS L.P.
(a) Amount beneficially owned:
1,000 shares of Series B Convertible Preferred Stock (convertible into 2,470,004
shares of Common Stock)/2/
Warrants to purchase shares of Common Stock (exercisable into 1,000,000 shares
of Common Stock)/2/
(b) Percent of Class:
Approximately 9.99% as of the date of filing of this statement. (Based on
31,264,772 shares of Common Stock issued and outstanding as of June 30, 2000,
plus the shares of Common Stock issuable upon the conversion of the Series B
Convertible Preferred Stock and exercise of the Warrants referred to in item (a)
above.)
Page 13 of 16
<PAGE>
------------------------ ----------------------
CUSIP NO. 825066301 13G Page 14 of 16 Pages
------------------------ ----------------------
(c) Number of shares as to which such person has:
(i) sole power to vote or to direct the vote:
0
(ii) shared power to vote or to direct the vote:
See item (a) above.
(iii) sole power to dispose or to direct the disposition of:
0
(iv) shared power to dispose or to direct the disposition of:
See item (a) above.
/2/ The securities reported herein include securities that the Reporting
Persons may acquire in the future through (i) the conversion of 1,000 shares of
the Series B Convertible Preferred Stock (the "Preferred Shares"), which may be
converted by the Reporting Persons at any time prior to and including June 30,
2003 (subject to extension under certain circumstances) into shares of the
Company's Common Stock (the "Common Stock") at the conversion price described
below, and (ii) the exercise by the Reporting Persons at anytime prior to and
including June 30, 2003 (subject to extension under certain circumstances) of
warrants (the "Warrants") to purchase up to 1,000,000 shares of Common Stock.
The number of shares of Common Stock into which the Preferred Shares are
convertible as of July 9, 2000 is based on a Conversion Price of $3.9375 as
calculated below. Subject to certain limitations, including the limitation on
beneficial ownership referred to in the last paragraph of this footnote 2, each
Preferred Share shall convert into that number of shares of Common Stock equal
to $10,000 (plus accrued and unpaid dividends) divided by the Conversion Price.
As of July 9, 2000, the Preferred Shares (excluding accrued dividends) were
convertible into 2,470,004 shares of Common Stock. The exercise price of the
Warrants is $5.000 (subject to adjustment after one year and to prevent
dilution). The Preferred Shares and the Warrants were issued on June 30, 2000.
The Conversion Price for the Preferred Shares (the "Conversion Price") as of any
conversion date or other date of determination is equal to the product of (i)
the conversion percentage (as discussed below) and (ii) the lowest closing bid
price for the Common Stock on its principal market ("Closing Bid Price") during
the four (4) consecutive trading days ending on and including the date of
determination; provided that in no event shall the Conversion Price exceed $12
(subject to adjustment to prevent dilution). As a result, as the Closing Bid
Price of the Common Stock fluctuates, the number of shares of Common Stock which
the holders of the Preferred Shares may
Page 14 of 16
<PAGE>
------------------------ ----------------------
CUSIP NO. 825066301 13G Page 15 of 16 Pages
------------------------ ----------------------
be deemed to beneficially own may fluctuate without any action taken by the
holders of the Preferred Shares. The conversion percentage on the issuance date
of the Preferred Shares is equal to 100% and then decreases permanently one
percentage point on the first day of every calendar month beginning on and
following August 1, 2000, provided that the conversion percentage will never be
less than 88%.
The Preferred Shares accrue dividends at the rate of 6% per annum from the date
of issuance, payable in cash or Common Stock at the option of the Company (with
certain exceptions) semi-annually during the first year and quarterly
thereafter. If the Company meets the necessary requirements and elects to pay
dividends in shares of Common Stock, the conversion price for such dividends
would be equal to 95% of the arithmetic average of the closing sale prices of
the Common Stock on its principal market during the five (5) consecutive trading
days immediately preceding the dividend date. As of the date of this 13G, the
Preferred Shares had accrued dividends of approximately $16,438.
Pursuant to the terms of the Preferred Shares the Company will not be required
to issue more than approximately 3,126,476 shares of Common Stock to the
Reporting Persons upon conversion of the Preferred Shares or exercise of the
Warrants (the "Exchange Cap") until the earlier of the date the Company receives
shareholder approval for issuance of the Common Stock upon the conversion of the
Preferred Shares and the exercise of the Warrants and the date such issuance
would not violate the rules of the principal securities market or exchange on
which the Common Stock is designated or listed.
Pursuant to the terms of the Preferred Shares and the Warrants, the Reporting
Persons cannot be "beneficial owners" of more than 9.99% of the Common Stock
within the meaning of Rule 13d-1 of the Securities Exchange Act of 1934. Due to
the foregoing limitation, the number of shares of Common Stock reported in this
13G as acquirable upon conversion of the Preferred Shares does not include
69,679 shares of Common Stock which, absent such limitation, the Reporting
Persons would have the right to acquire upon conversion of the Preferred Shares
as of July 10, 2000.
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:
See Item 2 above.
Item 8 Identification and Classification of Members of the Group:
Not Applicable.
Item 9 Notice of Dissolution of Group:
Not Applicable.
Page 15 of 16
<PAGE>
---------------------- -------------------
CUSIP NO. 825066301 13G Page 16 of 16 Pages
---------------------- -------------------
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.
After reasonable inquiry and to the best of its knowledge and belief, the
undersigned certify that the information set forth in this statement is true,
complete and correct.
Dated this 10/th/ day of July, 2000
<TABLE>
<S> <C>
/s/ James F. O'Brien, Jr. HERACLES FUND
-----------------------------------
James F. O'Brien, Jr. By: Promethean Investment Group, L.L.C.
Its: Investment Advisor
HFTP INVESTMENT L.L.C.
By: /s/ James F. O'Brien, Jr.
By: Promethean Asset Management, L.L.C. ---------------------------------
Its: Investment Manager Name: James F. O'Brien, Jr.
Title: Managing Member
By: /s/ James F. O'Brien, Jr.
------------------------------ PROMETHEAN MANAGERS LLC
Name: James F. O'Brien, Jr.
Title: Managing Member By: /s/ James F. O'Brien, Jr.
---------------------------------
Name: James F. O'Brien, Jr.
PROMETHEAN ASSET Title: Managing Member
MANAGEMENT, L.L.C.
By: /s/ James F. O'Brien, Jr.
------------------------------- THEMIS MANAGERS LLC
Name: James F. O'Brien, Jr.
Title: Managing Member By: Promethean Managers LLC
Its: Managing Member
PROMETHEAN INVESTMENT
GROUP, L.L.C. By: /s/ James F. O'Brien, Jr.
-----------------------------
By: /s/ James F. O'Brien, Jr. Name: James F. O'Brien, Jr.
-------------------------------- Title: Managing Member
Name: James F. O'Brien, Jr.
Title: Managing Member
THEMIS PARTNERS L.P.
HFTP MANAGERS LLC
By: Themis Managers LLC
By: Promethean Asset Management, L.L.C. Its: General Partner
Its: Managing Member By: Promethean Managers LLC
Its: Managing Member
By: /s/ James F. O'Brien, Jr.
-------------------------------- By: /s/ James F. Brien, Jr.
Name: James F. O'Brien, Jr. -----------------------------
Title: Managing Member Name: James F. O'Brien, Jr.
Title: Managing Member
</TABLE>
Page 16 of 16
