UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
-----------------------------------------------
SCHEDULE 13D
(Amendment No. 1)
Under the Securities Exchange Act of 1934
GEMSTAR INTERNATIONAL GROUP LTD.
(Name of Issuer)
Ordinary Shares, par value $.01 per share
(Title of Class of Securities)
G-3788-V106
(CUSIP Number)
Michael D. Fricklas, Esq.
Viacom Inc.
1515 Broadway
New York, New York 10036
Telephone: (212) 258-6000
(Name, Address and Telephone Number of
Person Authorized to Receive Notices and Communications)
February 7, 1998
(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 which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box / /.
Check the following box if a fee is being paid with this statement / /.
CUSIP No. G-3788-V106
(1) Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
VIACOM INTERNATIONAL INC.
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I.R.S. Identification No. 13-3844753
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(2) Check the Appropriate Box if a Member of Group (See Instructions)
|_| (a)-------------------------------------------------------------
|_| (b)-------------------------------------------------------------
(3) SEC Use Only
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(4) Sources of Funds (See Instructions)
----------------------------------
(5) Check if Disclosure of Legal Proceedings is Required Pursuant to Items
2(d) or 2(e)
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(6) Citizenship or Place of Organization Delaware
-----------------------------
- - --------------
Number of (7) Sole Voting Power
Shares -----------------------------
Beneficially (8) Shared Voting Power 2,895,743
Owned by -----------------------------
Each (9) Sole Dispositive Power
Reporting -----------------------------
Person (10) Shared Dispositive Power 2,895,743
With -----------------------------
- - --------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
2,895,743
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(12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares
(See Instructions)
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(13) Percent of Class Represented by Amount in Row (11)
6.02%
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(14) Type of Reporting Person (See Instructions) CO
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Page 2 of 15
CUSIP No. G-3788-V106
(1) Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
SUMNER M. REDSTONE
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I.R.S. Identification No.
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(2) Check the Appropriate Box if a Member of Group (See Instructions)
|_| (a)-------------------------------------------------------------
|_| (b)-------------------------------------------------------------
(3) SEC Use Only
------------------------------------------------------
(4) Sources of Funds (See Instructions)
----------------------------------
(5) Check if Disclosure of Legal Proceedings is Required Pursuant to Items
2(d) or 2(e)
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(6) Citizenship or Place of Organization United States
-----------------------------
- - --------------
Number of (7) Sole Voting Power 22,126
Shares -----------------------------
Beneficially (8) Shared Voting Power 2,895,743
Owned by -----------------------------
Each (9) Sole Dispositive Power 22,126
Reporting -----------------------------
Person (10) Shared Dispositive Power 2,895,743
With -----------------------------
- - --------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
2,917,869
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(12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares
(See Instructions)
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(13) Percent of Class Represented by Amount in Row (11)
6.07%
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(14) Type of Reporting Person (See Instructions) IN
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Page 3 of 15
This Amendment No. 1 amends the Statement on Schedule 13D filed
with The Securities and Exchange Commission on May 19, 1997 by Viacom
International Inc. (the "Company") and Mr. Sumner M. Redstone ("Redstone") with
respect to the voting Ordinary Shares, $.01 par value per share (the "Ordinary
Shares"), of Gemstar International Group Limited, a British Virgin Islands
corporation (the "Issuer"), with its principal executive office located at 135
North Los Robles Avenue, Suite 800, Pasadena, California 91101.
Item 2. Identity and Background.
------------------------
Item 2 is hereby amended to reflect changes in Schedules I and II
attached hereto.
Item 4. Purpose of Transaction.
-----------------------
Item 4 is hereby amended and supplemented as follows:
On February 7, 1998, the Company entered into Stock Purchase
Agreement with THOMSON multimedia S.A. ("Thomson") pursuant to which Thomson
agreed to acquire from the Company and the Company agreed to sell to Thomson
600,000 Ordinary Shares for an aggregate purchase price of $19.2 million. The
Closing of the purchase and sale took place on February 12, 1998. Although the
Reporting Persons may, at any time and from time to time, purchase or sell
Ordinary Shares in public or private transactions, the Reporting Persons have no
current plan or proposal which relates to, or would result in, any of the
actions enumerated in subparagraphs (a) through (j) of Item 4 Schedule 13D.
Item 5. Interest in Securities of the Issuer.
-------------------------------------
The Company beneficially owns 2,895,743 Ordinary Shares, which
represent approximately 6.02% of the issued and outstanding Ordinary Shares
(based on the number of Ordinary Shares of the Issuer that were reported by the
Issuer to issued and outstanding as of October 31, 1997). Such shares consist
of:
(i) 2,154,154 Ordinary Shares held directly by the Company over
which the Company has voting and dispositive power; and
(ii) 681,475 shares of Common Stock held by Virgin Interactive
Entertainment Inc., a Delaware corporation. The issued and
outstanding shares of Virgin Interactive Entertainment Inc.
are owned by Virgin Interactive Entertainment (Investment)
Ltd., a United Kingdom corporation, which in turn is wholly
owned by Virgin Interactive Entertainment (Holdings) Ltd., a
United Kingdom corporation. The issued and outstanding
shares of Virgin Interactive Entertainment (Holdings) Ltd.
are owned by Virgin Interactive Entertainment Ltd., a United
Kingdom corporation. Virgin Interactive Entertainment Ltd.
is owned approximately 91% by Spelling Entertainment Group
Inc., a Delaware corporation, and approximately 9% by the
Company. SEGI Holding Corp., a Delaware corporation,
beneficially owns approximately 80% of Spelling
Entertainment Group Inc. and is a wholly owned subsidiary of
Blockbuster Pictures Holding Corporation, a Delaware
corporation, which in turn is a wholly owned subsidiary of
the Company.
Page 4 of 15
Viacom Inc. ("Viacom"), as the sole shareholder of the Company,
may be deemed the beneficial owner of all of the Ordinary Shares described in
clauses (i) and (ii) of this Item 5.
National Amusements, Inc. ("NAI"), as the controlling shareholder
of Viacom, may be deemed the beneficial owner of all of the Ordinary Shares
described in clauses (i) and (ii) of this Item 5.
Redstone, as the controlling stockholder of NAI, may be deemed
the beneficial owner of all of the Ordinary Shares described in clauses (i) and
(ii) of this Item 5. Redstone also owns 22,126 Ordinary Shares of Common Stock
directly. The aggregate beneficial ownership of Redstone is approximately 6.07%.
Item 6. Contracts, Arrangements, Understandings or
Relationships With Respect to Securities of the Issuer.
-------------------------------------------------------
On February 7, 1998, the Company entered into a Stock Purchase
Agreement with Thomson pursuant to which Thomson agreed to acquire from the
Company and the Company agreed to sell to Thomson, 600,000 Ordinary Shares for
an aggregate purchase price of $19.2 million. The Closing of the purchase and
sale took place on February 12, 1998.
Item 7. Material to Be Filed as Exhibits.
---------------------------------
99.1 Stock Purchase Agreement, dated February 7, 1998,
between Viacom International Inc. and THOMSON
Multimedia S.A.
99.2 Agreement between Viacom International Inc. and
Sumner M. Redstone pursuant to Rule
13d-1(f)(1)(iii).
Page 5 of 15
Signatures
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After reasonable inquiry and to the best of our knowledge and
belief, we certify that the information set forth in this Statement is true,
complete and correct.
February 13, 1998 Viacom International Inc.
By: /s/ Michael D. Fricklas
-------------------------
Name: Michael D. Fricklas
Title: Senior Vice President
/s/ Sumner M. Redstone
-------------------------
Sumner M. Redstone,
Individually
Page 6 of 15
Schedule I
Viacom International Inc.
Executive Officers
Business or Principal Occupation Name and Address of Corporation or
Name Residence Address or Employment Other Organization in Which Employed
- - ---- ----------------- ------------------------ ------------------------------------
Sumner M. Redstone Viacom Inc. Chairman of the Board and National Amusements, Inc.
1515 Broadway Chief Executive Officer of 200 Elm Street
New York, NY Viacom Inc.; Chairman of the Dedham, MA 02026
10036 Board and President, Chief
Executive Officer of National
Amusements, Inc., President
and Chief Executive Officer of
Viacom International Inc.
Philippe P. Dauman* Viacom Inc. Deputy Chairman, Executive VP, Viacom International Inc.
1515 Broadway General Counsel, Chief 1515 Broadway
New York, NY Administrative Officer and New York, NY 10036
10036 Secretary of Viacom Inc. and
Executive VP and Secretary of
Viacom International Inc.
Thomas E. Dooley Viacom Inc. Deputy Chairman, Executive VP, Viacom International Inc.
1515 Broadway Finance, Corporate Development 1515 Broadway
New York, NY and Communications of Viacom New York, NY 10036
10036 Inc. and Executive VP of
Viacom International Inc.
Robert M. Bakish Viacom Inc. Sr. VP, Planning, Development Viacom International Inc.
1515 Broadway and Technology of Viacom Inc. 1515 Broadway
New York, NY and Viacom International Inc. New York, NY 10036
10036
Carl D. Folta Viacom Inc. Sr. VP, Corporate Viacom International Inc.
1515 Broadway Relations of Viacom Inc. and 1515 Broadway
New York, NY Viacom International Inc. New York, NY 10036
10036
- - -------------------
*Also a Director
Page 7 of 15
Schedule I
Continued
Michael D. Viacom Inc. Sr. VP, Deputy General Viacom International Inc.
Fricklas* 1515 Broadway Counsel and Assistant 1515 Broadway
New York, NY Secretary of Viacom Inc. and New York, NY 10036
10036 Sr. VP and Assistant
Secretary of Viacom
International Inc.
Susan C. Viacom Inc. Vice President, Controller, Viacom International Inc.
Gordon 1515 Broadway Chief Accounting Officer of 1515 Broadway
New York, NY Viacom Inc. and Viacom New York, NY 10036
10036 International Inc.
Rudolph L. Hertlein Viacom Inc. Sr. VP of Viacom Inc. and Viacom International Inc.
1515 Broadway Viacom International Inc. 1515 Broadway
New York, NY New York, NY 10036
10036
Carol Melton Viacom Inc. Sr. VP, Government Affairs of Viacom International Inc.
1515 Broadway Viacom Inc. and Viacom 1515 Broadway
New York, NY International Inc. New York, NY 10036
10036
William A. Roskin Viacom Inc. Sr. VP, Human Resources and Viacom International Inc.
1515 Broadway Administration of Viacom Inc. 1515 Broadway
New York, NY and Viacom International Inc. New York, NY 10036
10036
Martin Shea Viacom Inc. Sr. VP, Investor Relations of Viacom International Inc.
1515 Broadway Viacom Inc. and Viacom 1515 Broadway
New York, NY International Inc. New York, NY 10036
10036
George S. Smith, Viacom Inc. Sr. VP, Chief Financial Viacom International Inc.
Jr.* 1515 Broadway Officer of Viacom Inc. and 1515 Broadway
New York, NY Viacom International Inc. New York, NY 10036
10036
- - ------------------
*Also a Director
Page 8 of 15
Schedule II
Viacom Inc.
Executive Officers
Business of Principal Occupation Name and Address of Corporation or
Name Residence Address or Employment Other Organization in Which Employed
- - ----- ----------------- --------------------- ----------------------------------------
Sumner M. Redstone* Viacom Inc. Chairman of the Board and National Amusements, Inc.
1515 Broadway Chief Executive Officer of 200 Elm Street
New York, NY Viacom Inc.; Chairman of the Dedham, MA 02026
10036 Board and President, Chief
Executive Officer of National
Amusements, Inc., President
and Chief Executive Officer of
Viacom International Inc.
Philippe P. Dauman* Viacom Inc. Deputy Chairman, Executive VP, Viacom International Inc.
1515 Broadway General Counsel, Chief 1515 Broadway
New York, NY Administrative Officer and New York, NY 10036
10036 Secretary of Viacom Inc. and
Executive VP and Secretary of
Viacom International Inc.
Thomas E. Dooley* Viacom Inc. Deputy Chairman, Executive VP, Viacom International Inc.
1515 Broadway Finance, Corporate Development 1515 Broadway
New York, NY and Communications of Viacom New York, NY 10036
10036 Inc. and Executive VP of
Viacom International Inc.
Robert M. Bakish Viacom Inc. Sr. VP, Planning, Development Viacom International Inc.
1515 Broadway and Technology of Viacom Inc. 1515 Broadway
New York, NY and Viacom International Inc. New York, NY 10036
10036
Carl D. Folta Viacom Inc. Sr. VP, Corporate Viacom International Inc.
1515 Broadway Relations of Viacom Inc. and 1515 Broadway
New York, NY Viacom International Inc. New York, NY
10036 10036
- - --------------------
*Also a Director
Page 9 of 15
Schedule II
Continue
Michael D. Fricklas Viacom Inc. Sr. VP, Deputy General Counsel Viacom International Inc.
1515 Broadway and Assistant Secretary of 1515 Broadway
New York, NY Viacom Inc. and Sr. VP and New York, NY 10036
10036 Assistant Secretary of Viacom
International Inc.
Susan C. Viacom Inc. Vice President, Controller, Viacom International Inc.
Gordon 1515 Broadway Chief Accounting Officer of 1515 Broadway
New York, NY Viacom Inc. and Viacom New York, NY 10036
10036 International Inc.
Rudolph L. Hertlein Viacom Inc. Sr. VP of Viacom Inc. and Viacom International Inc.
1515 Broadway Viacom International Inc. 1515 Broadway
New York, NY New York, NY 10036
10036
Carol Melton Viacom Inc. Sr. VP, Government Affairs of Viacom International Inc.
1515 Broadway Viacom Inc. and Viacom 1515 Broadway
New York, NY International Inc. New York, NY 10036
10036
William A. Roskin Viacom Inc. Sr. VP, Human Resources and Viacom International Inc.
1515 Broadway Administration of Viacom Inc. 1515 Broadway
New York, NY and Viacom International Inc. New York, NY 10036
10036
Martin Shea Viacom Inc. Sr. VP, Investor Relations of Viacom International Inc.
1515 Broadway Viacom Inc. and Viacom 1515 Broadway
New York, NY International Inc. New York, NY 10036
10036
George S. Smith, Viacom Inc. Sr. VP, Chief Financial Viacom International Inc.
Jr. 1515 Broadway Officer of Viacom Inc. and 1515 Broadway
New York, NY Viacom International Inc. New York, NY 10036
10036
Directors
---------
George S. Abrams Winer & Abrams Attorney Winer & Abrams
60 State Street 60 State Street
Boston, MA 02109 Boston, MA 02109
Ken Miller Credit Suisse First Boston Vice Chairman of Credit Suisse First Boston
Corporation Credit Suisse First Corporation
11 Madison Avenue Boston Corporation 11 Madison Avenue
22nd Floor 22nd Floor
New York, NY 10010 New York, NY 10010
Page 10 of 15
Schedule II
Continued
Brent D. Redstone c/o Showtime Networks Inc. Director of National National Amusements, Inc.
8101 E. Prentice Avenue Amusements, Inc. 200 Elm Street
Suite 704 Dedham, MA 02026
Englewood, CO 80111
Shari Redstone National Amusements, Inc. Executive Vice President National Amusements, Inc.
200 Elm Street and Director of National 200 Elm Street
Dedham, MA 02026 Amusements, Inc. Dedham, MA 02026
Frederic V. Bell Atlantic Corporation Vice Chairman--Finance Bell Atlantic Corporation
Salerno 1095 Avenue of the Americas and Business Development 1095 Avenue of the Americas
New York, NY 10036 of Bell Atlantic New York, NY 10036
Corporation
William Schwartz Yeshiva University VP for Academic Affairs Yeshiva University
2495 Amsterdam Avenue (Chief Academic Officer) 2495 Amsterdam Avenue
Yew York, NY 10033 of Yeshiva University New York, NY 10033
Ivan Seidenberg Bell Atlantic Corporation Chairman of the Board Bell Atlantic Corporation
1095 Avenue of the Americas and Chief Executive 1095 Avenue of the Americas
New York, NY 10036 Officer of Bell Atlantic New York, NY 10036
Corporation
Page 11 of 15
EXHIBIT INDEX
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Exhibit No. Description
- - ----------- -----------
99.1 Stock Purchase Agreement, dated February 7, 1998, between Viacom
International Inc.and THOMSON multimedia S.A.
99.2 Agreement between Viacom International Inc. and Sumner M.
Redstone pursuant to Rule 13d-1(f)(1)(iii).
Page 12 of 15
Exhibit 99.1
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Viacom International Inc. THOMSON multimedia S.A.
1515 Broadway 46 quai A.LE GALLO
New York, New York 10036 92648 BOULOGNE
CEDEX, France
LETTER AGREEMENT
February 7, 1998
Dear Sirs:
We write to confirm the agreement between THOMSON multimedia S.A.
("Thomson") and Viacom International Inc. ("Viacom") regarding the purchase and
sale of shares of ordinary shares, $.01 par value per share (the "Gemstar
Ordinary Shares") of Gemstar International Group Limited ("Gemstar") from Viacom
to Thomson (referred to herein as the "Letter Agreement") as follows:
WHEREAS, Viacom is the holder of certain shares of Gemstar Ordinary
Shares; and
WHEREAS, Thomson desires to purchase the 600,000 shares of Gemstar
Ordinary Shares owned by Viacom and Viacom desires to sell such Shares to
Thomson.
WHEREAS, NOW, THEREFORE, for good and valuable consideration, Viacom
and Thomson agree as follows:
1. Sale of the Gemstar Ordinary Shares from Viacom to Thomson;
Purchase Price. Viacom hereby agrees to sell, convey and transfer to Thomson
600,000 Gemstar Ordinary Shares (the "Sale Shares"). As consideration for the
600,000 Gemstar Ordinary Shares, Thomson agrees to pay Viacom $19,200,000.00
(equal to $32.00 per share of Gemstar Ordinary Shares).
Viacom will deliver the certificate(s) representing Sale Shares to Thomson in
its offices or the offices of its agent or other designee in the United States
against payment of the purchase price in immediately available funds by wire
transfer to the order of Viacom, to an account specified by Viacom, with such
payment to be made on February 12, 1998 at 10:00 a.m., New York City time, or
such other time and place as the parties hereto determine.
2. Representations and Warranties.
a. Thomson. Thomson represents and warrants to Viacom that:
(i) the execution, delivery and performance of this
Letter Agreement and the transactions contemplated
hereby are within its corporate powers and this
Letter Agreement has been duly authorized by all
necessary corporate action and duly executed and
delivered on its behalf; and
(ii) Thomson is not acquiring the Sale Shares for
resale with a view to or in connection with a
distribution of such Sale Shares.
Page 13 of 15
b. Viacom. Viacom represents and warrants to Thomson that:
(i) the execution, delivery and performance of this
Letter Agreement and the transactions contemplated
hereby are within its corporate powers and this
Letter Agreement has been duly authorized by all
necessary corporate action and duly executed and
delivered on its behalf. .
(ii) Viacom has all right, title and interest in, under
and to the Sale Shares, and, other than as
contemplated by this Letter Agreement, Viacom has
not pledged, hypothecated or otherwise encumbered
the Sale Shares nor has Viacom contracted or
otherwise agreed to sell, transfer, assign or
otherwise agreed to dispose of the Sale Shares nor
has Viacom contracted to or otherwise agreed to
any such pledge, hypothecation, or encumbrance.
3. Securities Laws. Viacom and Thomson hereby acknowledge and agree
that the transactions contemplated hereunder have not been registered under the
United States Securities Act of 1933, as amended, and the rules and regulations
thereunder (the "Securities Act"), or any state or other securities laws and
that the transfer of the Sale Shares was conducted pursuant to one or more
exemptions under the Securities Act, or state or other securities laws. Thomson
acknowledges that the Sale Shares may not be sold without registration under the
Securities Act and state or other securities laws and that the certificate(s)
representing the Sale Shares have one or more restrictive legends affixed
thereto.
4. Governing Law; Venue. This Letter Agreement shall be governed by
the laws of the State of New York, and the sale of the Gemstar Ordinary Shares
shall be deemed to have occurred in the State of New York.
IN WITNESS WHEREOF, the parties have entered into this Letter Agreement as of
the date first set forth above.
THOMSON multimedia S.A.
By: --------------------------
Name:
Title:
Viacom International Inc.
By: --------------------------
Name:
Title:
Exhibit 99.2
------------
Pursuant to Rule 13d-1(f)(1)(iii) of the Securities and Exchange
Commission under the Securities Exchange Act of 1934, as amended, each of the
undersigned agrees that the statement to which this Exhibit is attached is filed
on its behalf.
February 13, 1998 Viacom International Inc.
By: /s/ Michael D. Fricklas
--------------------------
Name: Michael D. Fricklas
Title: Senior Vice President
/s/ Sumner M. Redstone
----------------------------
Sumner M. Redstone,
Individually
Page 15 of 15
