SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
----------------------
AMENDMENT NO. 6 TO
SCHEDULE 13D
(RULE 13D-101)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT
TO RULE 13D-1(A) AND AMENDMENTS THERETO FILED PURSUANT TO
RULE 13D-2(A)
LENDINGTREE, INC.
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(Name of Issuer)
COMMON STOCK, PAR VALUE $ 0.01 PER SHARE
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(Title of Class of Securities)
526020-10-5
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(CUSIP Number)
Capital Z Management, LLC
54 Thompson Street
New York, New York 10012
Attention: David A. Spuria, Esq.
(212) 965-0800
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(Name, address and telephone number of person
authorized to receive notices and communications)
May 5, 2003
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(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 that is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(e), (f) or (g), check the following box. [ ]
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See Rule 13d-7(b) for other
parties to whom copies are to be sent.
========== =========================================================================================================================
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (entities only)
SPECIALTY FINANCE PARTNERS
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [ ]
(b) [X]
---------- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
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4 SOURCE OF FUNDS
00 - CONTRIBUTIONS FROM PARTNERS
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEM 2(d) or 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
BERMUDA
--------------------------------------------------- --------- ----------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
SHARES 4,467,456*
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ----------------------------------------------------------------------
8 SHARED VOTING POWER
--------------------------------------------------- --------- ----------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
4,467,456*
--------------------------------------------------- --------- ----------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
---------- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
17.7%*
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14 TYPE OF REPORTING PERSON
PN
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* Includes (i) 2,086,420 shares of Common Stock, (ii) 2,340,104 shares of
Common Stock that were, at April 1, 2003, issuable upon conversion of
2,156,726 shares of Series A 8% Convertible Preferred Stock beneficially
owned by the Reporting Person and (iii) 40,932 shares of Common Stock that
are issuable upon exercise of currently exercisable stock options held by
a related entity. See Item 5.
========== =========================================================================================================================
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (entities only)
CAPITAL Z FINANCIAL SERVICES FUND II, L.P.*
---------- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [X]
---------- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
---------- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
NOT APPLICABLE
---------- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEM 2(d) or 2(e) [ ]
---------- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
BERMUDA
--------------------------------------------------- --------- ----------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
SHARES
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ----------------------------------------------------------------------
8 SHARED VOTING POWER
4,467,456*
--------------------------------------------------- --------- ----------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
--------------------------------------------------- --------- ----------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,467,456*
--------- --------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
17.7%
---------- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
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*Solely in its capacity as a general partner of Specialty Finance Partners.
========== =========================================================================================================================
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (entities only)
CAPITAL Z PARTNERS, L.P.*
---------- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [X]
---------- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
---------- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
NOT APPLICABLE
---------- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEM 2(d) or 2(e) [ ]
---------- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
BERMUDA
--------------------------------------------------- --------- ----------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
SHARES
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ----------------------------------------------------------------------
8 SHARED VOTING POWER
4,467,456*
--------------------------------------------------- --------- ----------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
--------------------------------------------------- --------- ----------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
17.7%
---------- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
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*Solely in its capacity as the sole general partner of Capital Z Financial
Services Fund II, L.P.
========== =========================================================================================================================
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (entities only)
CAPITAL Z PARTNERS, LTD.*
---------- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [X]
---------- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
---------- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
NOT APPLICABLE
---------- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS
REQUIRED PURSUANT TO ITEM 2(d) or 2(e) [ ]
---------- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
BERMUDA
--------------------------------------------------- --------- ----------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
SHARES
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ----------------------------------------------------------------------
8 SHARED VOTING POWER
4,467,456*
--------------------------------------------------- --------- ----------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
--------------------------------------------------- --------- ----------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
4,467,456*
---------- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
17.7%
---------- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- -------------------------------------------------------------------------------------------------------------------------
*Solely in its capacity as the sole general partner of Capital Z Partners, L.P.
This Amendment No. 6 ("Amendment No. 6") amends the statement on
Schedule 13D, dated October 10, 2000 (the "Initial Schedule 13D"), as amended in
certain respects by Amendment No. 1 thereto, dated March 26, 2001 ("Amendment
No. 1"), Amendment No. 2 thereto, dated March 26, 2001 ("Amendment No. 2"),
Amendment No. 3 thereto, dated June 8, 2001 ("Amendment No. 3"), Amendment No. 4
thereto, dated April 3, 2002 ("Amendment No. 4"), and Amendment No. 5 thereto,
dated November 12, 2002 ("Amendment No. 5" and, together with the Initial
Schedule 13D, Amendment No. 1, Amendment No. 2, Amendment No. 3 and Amendment
No. 4, the "Schedule 13D"), and is filed jointly on behalf of Specialty Finance
Partners, a Bermuda general partnership ("Specialty Finance Partners"), Capital
Z Financial Services Fund II, L.P., a Bermuda limited partnership ("Capital Z
Fund II"), Capital Z Partners, L.P., a Bermuda limited partnership ("Capital Z
L.P."), and Capital Z Partners, Ltd., a Bermuda corporation ("Capital Z Ltd.")
(each, a "Reporting Person" and collectively, the "Reporting Persons"), in
respect of the shares of Common Stock, par value $0.01 per share (the "Common
Stock"), of LendingTree, Inc. (the "Company").
The Schedule 13D is hereby amended as follows:
ITEM 5. INTEREST IN SECURITIES OF ISSUER
The information contained in Item 5(a)-(b) and 5(c) of the Schedule
13D is hereby amended and restated in its entirety as follows:
(A)-(B)
Specialty Finance Partners beneficially owns in the aggregate
4,467,456 shares of Common Stock by virtue (i) of the fact that it is the holder
of record of 2,086,420 shares of Common Stock, (ii) of its expected ability to
convert (as discussed in Item 6 of Amendment No. 1) 2,156,726 shares of Series A
8% Convertible Preferred Stock, par value $0.01 per share (the "Series A
Preferred Stock"), into 2,340,104 shares of Common Stock as of April 1, 2003 and
(iii) of the ability of Capital Z Management, LLC, a Delaware limited liability
company ("Capital Z Management") related to Specialty Finance Partners, to
receive within 60 days hereof 40,932 shares of Common Stock that are issuable
upon exercise of stock options held Capital Z Management. Except for shares
issuable pursuant to these stock options, Specialty Finance Partners has the
sole power to vote or direct the vote, or to dispose or to direct the
disposition, of such shares.
Capital Z Fund II (the general partner of Specialty Finance
Partners), Capital Z L.P. (the sole general partner of Capital Z Fund II) and
Capital Z Ltd. (the sole general partner of Capital Z L.P.) may be deemed to
beneficially own in the aggregate 4,467,456 shares of the Common Stock by virtue
of Specialty Finance Partners' ownership of shares of Common Stock, its expected
ability to convert the shares of Series A Preferred Stock owned by it into
shares of Common Stock and the expected ability of Capital Z Management to
exercise stock options exercisable within 60 days hereof into shares of Common
Stock. Except for shares issuable pursuant to these stock options, each of
Capital Z Fund II, Capital Z L.P. and Capital Z Ltd. has the shared power to
vote or to direct the vote, and to dispose or to direct the disposition, of such
shares.
6
On an as-converted-to-Common Stock basis, the Reporting Persons'
total beneficial ownership of Common Stock is approximately 17.7% (based on
calculations made in accordance with Rule 13d-3(d) of the Securities Exchange
Act of 1934, as amended (the "Exchange Act"), and based on the number of shares
of Common Stock outstanding as of April 30, 2003, and assuming that (i) the
shares of Series A Preferred Stock owned by the Reporting Persons are converted
into Common Stock and (ii) the options that may be beneficially owned by the
Reporting Persons are exercised for Common Stock). Each of the Reporting Persons
disclaims beneficial ownership of all securities covered by this Amendment not
owned of record by it.
(C)
Except as described in Item 6, none of the Reporting Persons has
effected any transactions in shares of Common Stock or Series A Preferred Stock
during the past 60 days.
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE ISSUER.
Item 6 of Amendment No. 5 is hereby amended by adding the following
at the end thereto:
On May 5, 2003, USA Interactive, a Delaware corporation ("Parent"),
Forest Merger Corp., a Delaware corporation and wholly owned subsidiary of
Parent ("Merger Sub"), and the Company entered into an Agreement and Plan of
Merger (the "Merger Agreement") providing for the merger of Merger Sub with and
into the Company (the "Merger"), with the Company being the surviving
corporation in the Merger.
In connection with the execution of the Merger Agreement, Specialty
Finance Partners, along with Capital Z Management, LLC (each a "Stockholder" and
collectively, the "Stockholders"), entered into a Voting Agreement, dated as of
May 5, 2003 (the "Voting Agreement"), with Parent, the principal terms of which
are described below. The following description of the Voting Agreement is a
summary only and is qualified in its entirety by reference to the Voting
Agreement, which is being filed as an exhibit to this Amendment No. 6 and is
incorporated herein by reference.
Voting of Shares. Each Stockholder agreed to vote or cause to be
voted all of its Voting Shares (as defined in the Voting Agreement) at any
meeting of stockholders of the Company during the time the Voting Agreement is
in effect (a) in favor of approval of (1) the Merger Agreement and the
transactions contemplated thereby, including the Merger, (2) the Series A
Amendment Proposals (as defined in the Voting Agreement) and (3) any other
matter that is required to facilitate the transactions contemplated by the
Merger Agreement and (b) against any Acquisition Proposal (as defined in the
Merger Agreement) and against any action or agreement that would impair the
ability of the Company to consummate the Merger or that would otherwise be
inconsistent with, prevent, impede or delay the consummation of the Merger and
related transactions. "Acquisition Proposal" is defined in the Merger Agreement
to mean an unsolicited bona fide written offer or proposal to acquire more than
7
twenty-five percent (25%) of the business, properties or assets of the Company
and its subsidiaries, or capital stock of the Company or its subsidiaries
representing fifteen percent (15%) of the total voting power of all of such
entity's voting securities, in each case, whether by merger, purchase of assets,
tender offer or otherwise, whether for cash, securities or any other
consideration or combination thereof.
Irrevocable Proxy. Each Stockholder granted Parent an irrevocable
proxy to permit Parent to vote the Voting Shares in the manner described in the
foregoing paragraph. The irrevocable proxy will automatically terminate upon the
valid termination of the Voting Agreement.
No Transfer of Shares or Voting Rights. Each Stockholder agreed,
while the Voting Agreement is in effect and subject to certain exceptions, not
to (1) sell, transfer, pledge, encumber, assign or otherwise dispose of, or
enter into any contract, option or other arrangement or understanding with
respect to the sale, transfer, pledge, encumbrance, assignment or other
disposition of, or limitation on the voting rights of, any of the Voting Shares,
(2) grant any proxies or powers of attorney, deposit any Voting Shares into a
voting trust or enter into a voting agreements with respect to any Voting Shares
or (3) commit or agree to take any of the foregoing actions.
Termination. The Voting Agreement will (i) terminate automatically on
the termination of the Merger Agreement, in accordance with its terms and (ii)
will be deemed satisfied in full and terminated upon the consummation of the
Merger.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
Exhibit 1 -- Voting Agreement, dated as of May 5, 2003, by and between USA
Interactive and Specialty Finance Partners and Capital Z
Management, LLC.
8
SIGNATURES
After reasonable inquiry and to the best of my knowledge
and belief, each of the undersigned certifies that the information set forth in
this Statement is true, complete, and correct.
Date: May 7, 2003
SPECIALTY FINANCE PARTNERS
By: Capital Z Partners, Ltd., its ultimate general partner
By: /s/ David A. Spuria
------------------------------------------------------
David A. Spuria
General Counsel, Vice President of
Administration and Secretary
CAPITAL Z FINANCIAL SERVICES FUND II, L.P.
By: Capital Z Partners, Ltd., its ultimate general partner
By: /s/ David A. Spuria
------------------------------------------------------
David A. Spuria
General Counsel, Vice President of
Administration and Secretary
CAPITAL Z PARTNERS, L.P.
By: Capital Z Partners, Ltd., its general partner
By: /s/ David A. Spuria
------------------------------------------------------
David A. Spuria
General Counsel, Vice President of
Administration and Secretary
CAPITAL Z PARTNERS, LTD.
By: /s/ David A. Spuria
------------------------------------------------------
David A. Spuria
General Counsel, Vice President of
Administration and Secretary
9
EXHIBIT INDEX
-------------
Exhibit 1 -- Voting Agreement, dated as of May 5, 2003, by and between USA
Interactive and Specialty Finance Partners and Capital Z
Management, LLC.
10