SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
----------------------
AMENDMENT NO. 1 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)
VESTA INSURANCE GROUP, 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)
925391
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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
--------------------------------------------------------------------------------
(Name, address and telephone number of person
authorized to receive notices and communications)
February 12, 2004
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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)
CAPITAL Z FINANCIAL SERVICES FUND II, L.P.
---------- ------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
---------- ------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
---------- ------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
---------- ------------------------------------------------------------------------------------------------------------------------
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 1,656,047
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ---------------------------------------------------------------------
8 SHARED VOTING POWER
--------------------------------------------------- --------- ---------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
1,656,047
--------------------------------------------------- --------- ---------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
---------- ------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,656,047
---------- ------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- ------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
4.5%
---------- ------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- ------------------------------------------------------------------------------------------------------------------------
========== ========================================================================================================================
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (entities only)
CAPITAL Z FINANCIAL SERVICES PRIVATE 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
OO
---------- ------------------------------------------------------------------------------------------------------------------------
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 8,791
BENEFICIALLY
OWNED BY
EACH
REPORTING
PERSON
WITH
--------------------------------------------------- --------- ---------------------------------------------------------------------
8 SHARED VOTING POWER
--------------------------------------------------- --------- ---------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
8,791
--------------------------------------------------- --------- ---------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
---------- ------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
8,791
---------- ------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- ------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
.02%
---------- ------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- ------------------------------------------------------------------------------------------------------------------------
========== ========================================================================================================================
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) [X]
(b) [ ]
---------- ------------------------------------------------------------------------------------------------------------------------
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
1,664,838
--------------------------------------------------- --------- ---------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
--------------------------------------------------- --------- ---------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,664,838
---------- ------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,664,838
---------- ------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- ------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
4.5%
---------- ------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- ------------------------------------------------------------------------------------------------------------------------
*Solely in its capacity as the sole general partner of Capital Z Financial
Services Fund II, L.P. and Capital Z Financial Services Private 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) [X]
(b) [ ]
---------- ------------------------------------------------------------------------------------------------------------------------
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
1,664,838
--------------------------------------------------- --------- ---------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
--------------------------------------------------- --------- ---------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,664,838
---------- ------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,664,838
---------- ------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW 11
EXCLUDES CERTAIN SHARES
[ ]
---------- ------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 11
4.5%
---------- ------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- ------------------------------------------------------------------------------------------------------------------------
* Solely in its capacity as the sole general partner of Capital Z Partners, L.P.
ITEM 1. SECURITY AND ISSUER.
This Amendment No. 1 to Schedule 13D relates to the common stock, par
value $0.01 per share (the "Common Stock"), of Vesta Insurance Group, Inc., a
Delaware corporation (the "Company").
The Company's principal executive office is located at 3760 River Run
Road, Birmingham, Alabama 35243.
ITEM 2. IDENTITY AND BACKGROUND.
This Amendment No. 1 to Schedule 13D is being filed jointly on behalf
of Capital Z Financial Services Fund II, L.P., a Bermuda limited partnership
("Capital Z Fund II"), Capital Z Financial Services Private Fund II, L.P.
("Capital Z Private 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.", and together with Capital Z Fund II, Capital Z
Private Fund II, Capital Z L.P., the "Reporting Persons").
Capital Z Fund II and Capital Z Private Fund II are each limited
partnerships that invest in the securities of financial-service companies and
related businesses. Capital Z L.P. is a limited partnership which acts as the
sole general partner of Capital Z Fund II and Capital Z Private Fund II. Capital
Z Ltd. is a corporation which acts as the sole general partner of Capital Z L.P.
Information regarding the control persons and executive officers of
the Reporting Persons is set forth on Schedule I attached hereto, which Schedule
is hereby incorporated by reference. Except as set forth on Schedule I, all such
persons are citizens of the United States.
The principal business address of each Reporting Person is 54
Thompson Street, New York, New York 10012.
None of the entities or persons identified on Schedule I hereto has,
during the last five years, been convicted in a criminal proceeding (excluding
traffic violations or similar misdemeanors). None of the Reporting Persons has
been convicted in a criminal proceeding during the last 5 years.
None of the entities or persons identified on Schedule I hereto has,
during the last five years, been a party to a civil proceeding of a judicial or
administrative body of competent jurisdiction and as a result of such proceeding
was 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. None
of the Reporting Persons has, during the last 5 years, been a party to any civil
proceeding as a result of which he or it was 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
violations with respect to such laws.
ITEM 3. SOURCE AND AMOUNT OF FUNDS.
No amendments to Item 3 of original Schedule 13D.
ITEM 4. PURPOSE OF TRANSACTION.
This Amendment No. 1 to Schedule 13D is being filed to report the
sale by the Reporting Persons of an aggregate of 1,64,838 shares of the
Company's Common Stock in an open market transaction pursuant to Rule 144 of the
Securities Act of 1933, as amended. As a consequence of the sales reported in
this Amendment No. 1 to Schedule 13D, the Reporting Persons have ceased to be
the beneficial owners of more than five percent (5%) of the Company's Common
Stock. The Reporting Persons intend to review continuously their position in the
Company. Depending upon further evaluations of the business prospects of the
Company and upon other developments, including, but not limited to, general
economic and business conditions and stock market conditions, the Reporting
Persons may retain or from time to time increase their holdings or dispose of
all or a portion of their holdings subject to any applicable legal and
contractual restrictions on their ability to do so in privately negotiated
transactions, open market purchases or otherwise.
6
In addition, the matters set forth in Item 6 below are incorporated
in this Item 4 by reference as if fully set forth therein.
Except as set forth in this Item 4 (including those matters described
in Item 6 below which are incorporated in this Item 4 by reference), the
Reporting Persons have no present plans or proposals that relate to or that
would result in any of the actions specified in clauses (a) through (j) of Item
4 of Schedule 13D of the Securities Exchange Act of 1934, as amended.
ITEM 5. INTEREST IN SECURITIES OF ISSUER.
(a) - (b)
Capital Z Fund II has the sole power to vote and the sole power to
dispose of 1,656,047 shares of Common Stock, which is 4.5% of the Common Stock.
Capital Z Private Fund II has the sole power to vote and the sole power to
dispose of 8,791 shares of Common Stock, which is .02% of the Common Stock.
Capital Z L.P. and Capital Z Ltd. may be deemed to beneficially own 1,664,838
shares of Common Stock by virtue of Capital Z Fund II's and Capital Z Private
Fund II's ownership of 1,656,047 and 8,791 shares of Common Stock, respectively.
Capital Z L.P. and Capital Z Ltd. each have the shared power to vote or direct
the vote, and to dispose or to direct the disposition, of such shares. Such
shares represent, in the aggregate, approximately 4.5% of the outstanding total
Common Stock.
All calculations made herein are made in accordance with Rule
13d-3(d) of the Securities Exchange Act of 1934, as amended and based on the
number of shares of Common Stock outstanding as of November 12, 2003.
(c) Except as set forth herein, none of the Reporting Persons has
effected any transactions in shares of Common Stock during the past 60 days.
(d) None.
(e) February 3, 2004.
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE ISSUER.
No amendments to Item 6 of the original 13D.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
1. Joint Filing Agreement, dated February 13, 2004, by and among Capital Z
Financial Services Fund II, L.P., Capital Z Financial Services Private Fund II,
L.P., Capital Z Partners, L.P., and Capital Z Partners, Ltd.
7
SIGNATURES
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.
Date: February 13, 2004
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 FINANCIAL SERVICES PRIVATE 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 ultimate
general partner
By: /s/ David A. Spuria
------------------------------------------
David A. Spuria
General Counsel, Vice President of
Administration and Secretary
CAPITAL Z PARTNERS, LTD.
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
8
SCHEDULE I
----------
CONTROL PERSONS AND EXECUTIVE OFFICERS
OF THE CAPITAL Z REPORTING PERSONS
The names, present principal occupations and business addresses of
the control persons and executive officers of the Capital Z Reporting Persons
are set forth below. The control person's or executive officer's business
address is that of the Reporting Person. Each of the named individuals is a
citizen of the United States of America, except for Laurence Cheng who is a
citizen of Canada. Unless otherwise indicated, each occupation set forth
opposite an individual's name refers to Capital Z partners, Ltd. Capital Z
Partners, Ltd. is the ultimate general partner and control person of Capital Z
Financial Services Fund II, L.P. and Capital Z Financial Services Private Fund
II, L.P.
Robert A. Spass
Chairman of the Board
Laurence W. Cheng
Chief Executive Officer and Director
Bradley E. Cooper
Senior Vice President and Director
Mark K. Gormley
Senior Vice President and Director
Scott M. Delman
Senior Vice President and Director
David A. Spuria
General Counsel, Vice President of Administration and Secretary
Roland V. Bernardon
Chief Financial Officer, Treasurer and Assistant Secretary
9