The following constitutes Amendment No. 5 to the Schedule 13D filed by the undersigned (“Amendment No. 5”). This Amendment No. 5 amends the Schedule 13D as specifically set forth herein.
Item 5. | Interest in Securities of the Issuer. |
Items 5(a) – (c) are hereby amended and restated to read as follows:
The aggregate percentage of Shares reported owned by each person named herein is based upon 11,639,066 Shares outstanding as of November 16, 2015, which is the total number of Shares outstanding as reported in the Issuer’s Quarterly Report on Form 10-Q, filed with the Securities and Exchange Commission on November 23, 2015.
| A. | Lone Star Value Investors |
| (a) | As of the close of business on November 30, 2015 Lone Star Value Investors beneficially owned 6,111,143 Shares, including 2,777,778 Shares issuable upon the conversion of the Convertible Note and 2,777,777 Shares issuable upon the exercise of the Warrant (each as defined in Amendment No. 3 to the Schedule 13D). |
Percentage: Approximately 35.5%
| (b) | 1. Sole power to vote or direct vote: 6,111,143 |
| 2. Shared power to vote or direct vote: 0 |
| 3. Sole power to dispose or direct the disposition: 6,111,143 |
| 4. Shared power to dispose or direct the disposition: 0 |
| (c) | Lone Star Value Investors has not entered into any transactions in the Shares during the past sixty days. |
| (a) | Lone Star Value GP, as the general partner of Lone Star Value Investors, may be deemed the beneficial owner of the 6,111,143 Shares beneficially owned by Lone Star Value Investors. |
Percentage: Approximately 35.5%
| (b) | 1. Sole power to vote or direct vote: 6,111,143 |
| 2. Shared power to vote or direct vote: 0 |
| 3. Sole power to dispose or direct the disposition: 6,111,143 |
| 4. Shared power to dispose or direct the disposition: 0 |
| (c) | Lone Star Value GP has not entered into any transactions in the Shares during the past sixty days. |
| C. | Lone Star Value Management |
| (a) | Lone Star Value Management, as the investment manager of Lone Star Value Investors, may be deemed the beneficial owner of the 6,121,273 Shares beneficially owned by Lone Star Value Investors. |
Percentage: Approximately 35.6%
| (b) | 1. Sole power to vote or direct vote: 6,121,273 |
| 2. Shared power to vote or direct vote: 0 |
| 3. Sole power to dispose or direct the disposition: 6,121,273 |
| 4. Shared power to dispose or direct the disposition: 0 |
| (c) | Lone Star Value Management has not entered into any transactions in the Shares during the past 60 days. |
| (a) | Mr. Eberwein, as the manager of Lone Star Value GP and sole member of Lone Star Value Management, may be deemed the beneficial owner of the 6,121,273 Shares beneficially owned by Lone Star Value Investors. |
Percentage: Approximately 35.6%
| (b) | 1. Sole power to vote or direct vote: 6,121,273 |
| 2. Shared power to vote or direct vote: 0 |
| 3. Sole power to dispose or direct the disposition: 6,121,273 |
| 4. Shared power to dispose or direct the disposition: 07 |
| (c) | Mr. Eberwein has not entered into any transactions in the Shares during the past 60 days. |
The Reporting Persons, as members of a “group” for the purposes of Section 13(d)(3) of the Securities Exchange Act of 1934, as amended, may be deemed the beneficial owner of the Shares directly owned by the other Reporting Person. Each Reporting Person disclaims beneficial ownership of such Shares except to the extent of his or its pecuniary interest therein.
Item 6. | Contracts, Arrangements, Understandings or Relationships With Respect to Securities of the Issuer. |
Item 6 is hereby amended to add the following:
On November 25, 2015, Lone Star Value Management, on behalf of certain of a certain managed account, terminated that certain Purchase Trading Plan Agreement with Williams Trading, LLC (“Williams Trading”), dated June 3, 2015, as further described in Amendment No. 4 to the Schedule 13D.
On November 25, 2015, Lone Star Value Management, on behalf of a certain managed account, entered into a Purchase Trading Plan Agreement (the “Agreement”) with Williams Trading for the purpose of establishing a trading plan to effect purchases of Shares of the Issuer in compliance with all applicable laws, including, without limitation, Section 10(b) of the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, including, but not limited to, Rule 10b5-1.
The Agreement allows for the purchase of up to an aggregate of 30,000 Shares by Williams Trading on behalf of Lone Star Value Management. Shares purchased pursuant to the Agreement may only be purchased in accordance with trading requirements adopted by Lone Star Value Management, and there can be no assurance as to how many Shares, if any, will be purchased pursuant to the Agreement or at what price any such Shares will be purchased.
A copy of the Agreement is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
On August 4, 2015, Mr. Eberwein, in his capacity as the Chairman of the Board of the Issuer, was awarded 20,227 restricted stock units, representing the right to receive, at settlement, one Share, pursuant to the Issuer’s 2015 Equity Incentive Award Plan. The restricted stock units vest on August 4, 2016.
Item 7. | Material to be Filed as Exhibits. |
Item 7 is hereby amended to add the following exhibit:
| 99.1 | Purchase Trading Plan Agreement between Lone Star Value Management, LLC and Williams Trading, LLC, dated November 25, 2015. |