SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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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)
Under the Securities Exchange Act of 1934
(Amendment No. 1)
Captaris, 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)
14071N104
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(CUSIP Number)
Mr. Charles Frumberg
Emancipation Capital
1120 Avenue of the Americas, Suite 1504
New York, NY 10036
(212) 626-2641
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(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
March 12, 2008
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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), 13d-1(f) or 13d-1(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 for other
parties to whom copies are to be sent. (Continued on following pages)
----------------
* 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).
CUSIP No. 1407N104 13D/A Page 2 of 9 Pages
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(1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NO.
OF ABOVE PERSONS (ENTITIES ONLY)
Emancipation Capital, LP
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(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP *
(a) [ ]
(b) [ ]
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(3) SEC USE ONLY
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(4) SOURCE OF FUNDS*
OO
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(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDING IS REQUIRED PURSUANT TO
ITEM 2(d) or 2(e) [ ]
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(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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NUMBER OF (7) SOLE VOTING POWER
-0-
SHARES --------------------------------------------------------------
BENEFICIALLY (8) SHARED VOTING POWER
1,694,541
OWNED BY --------------------------------------------------------------
EACH (9) SOLE DISPOSITIVE POWER
-0-
REPORTING --------------------------------------------------------------
PERSON WITH (10) SHARED DISPOSITIVE POWER
1,694,541
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(11) AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON
1,694,541
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(12) CHECK BOX IF THE AGGREGATE AMOUNT
IN ROW (11) EXCLUDES CERTAIN SHARES * [ ]
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(13) PERCENT OF CLASS REPRESENTED
BY AMOUNT IN ROW (11)
6.36%
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(14) TYPE OF REPORTING PERSON *
PN
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* SEE INSTRUCTIONS BEFORE FILLING OUT!
CUSIP No. 1407N104 13D/A Page 3 of 9 Pages
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(1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NO.
OF ABOVE PERSONS (ENTITIES ONLY)
Emancipation Capital, LLC
-----------------------------------------------------------------------------
(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP *
(a) [ ]
(b) [ ]
-----------------------------------------------------------------------------
(3) SEC USE ONLY
-----------------------------------------------------------------------------
(4) SOURCE OF FUNDS*
OO
-----------------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDING IS REQUIRED PURSUANT TO
ITEM 2(d) or 2(e) [ ]
-----------------------------------------------------------------------------
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
-----------------------------------------------------------------------------
NUMBER OF (7) SOLE VOTING POWER
-0-
SHARES --------------------------------------------------------------
BENEFICIALLY (8) SHARED VOTING POWER
1,694,541
OWNED BY --------------------------------------------------------------
EACH (9) SOLE DISPOSITIVE POWER
-0-
REPORTING --------------------------------------------------------------
PERSON WITH (10) SHARED DISPOSITIVE POWER
1,694,541
-----------------------------------------------------------------------------
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON
1,694,541
-----------------------------------------------------------------------------
(12) CHECK BOX IF THE AGGREGATE AMOUNT
IN ROW (11) EXCLUDES CERTAIN SHARES * [ ]
-----------------------------------------------------------------------------
(13) PERCENT OF CLASS REPRESENTED
BY AMOUNT IN ROW (11)
6.36%
-----------------------------------------------------------------------------
(14) TYPE OF REPORTING PERSON *
OO
-----------------------------------------------------------------------------
* SEE INSTRUCTIONS BEFORE FILLING OUT!
CUSIP No. 1407N104 13D/A Page 4 of 9 Pages
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(1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NO.
OF ABOVE PERSONS (ENTITIES ONLY)
Emancipation Capital Master, Ltd.
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(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP *
(a) [ ]
(b) [ ]
-----------------------------------------------------------------------------
(3) SEC USE ONLY
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(4) SOURCE OF FUNDS*
OO
-----------------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDING IS REQUIRED PURSUANT TO
ITEM 2(d) or 2(e) [ ]
-----------------------------------------------------------------------------
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
Cayman Islands
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NUMBER OF (7) SOLE VOTING POWER
-0-
SHARES --------------------------------------------------------------
BENEFICIALLY (8) SHARED VOTING POWER
1,694,541
OWNED BY --------------------------------------------------------------
EACH (9) SOLE DISPOSITIVE POWER
-0-
REPORTING --------------------------------------------------------------
PERSON WITH (10) SHARED DISPOSITIVE POWER
1,694,541
-----------------------------------------------------------------------------
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON
1,694,541
-----------------------------------------------------------------------------
(12) CHECK BOX IF THE AGGREGATE AMOUNT
IN ROW (11) EXCLUDES CERTAIN SHARES * [ ]
-----------------------------------------------------------------------------
(13) PERCENT OF CLASS REPRESENTED
BY AMOUNT IN ROW (11)
6.36%
-----------------------------------------------------------------------------
(14) TYPE OF REPORTING PERSON *
CO
-----------------------------------------------------------------------------
* SEE INSTRUCTIONS BEFORE FILLING OUT!
CUSIP No. 1407N104 13D/A Page 5 of 9 Pages
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(1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NO.
OF ABOVE PERSONS (ENTITIES ONLY)
Charles Frumberg
-----------------------------------------------------------------------------
(2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP *
(a) [ ]
(b) [ ]
-----------------------------------------------------------------------------
(3) SEC USE ONLY
-----------------------------------------------------------------------------
(4) SOURCE OF FUNDS*
OO
-----------------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDING IS REQUIRED PURSUANT TO
ITEM 2(d) or 2(e) [ ]
-----------------------------------------------------------------------------
(6) CITIZENSHIP OR PLACE OF ORGANIZATION
United States
-----------------------------------------------------------------------------
NUMBER OF (7) SOLE VOTING POWER
-0-
SHARES --------------------------------------------------------------
BENEFICIALLY (8) SHARED VOTING POWER
1,694,541
OWNED BY --------------------------------------------------------------
EACH (9) SOLE DISPOSITIVE POWER
-0-
REPORTING --------------------------------------------------------------
PERSON WITH (10) SHARED DISPOSITIVE POWER
1,694,541
-----------------------------------------------------------------------------
(11) AGGREGATE AMOUNT BENEFICIALLY OWNED
BY EACH REPORTING PERSON
1,694,541
-----------------------------------------------------------------------------
(12) CHECK BOX IF THE AGGREGATE AMOUNT
IN ROW (11) EXCLUDES CERTAIN SHARES * [ ]
-----------------------------------------------------------------------------
(13) PERCENT OF CLASS REPRESENTED
BY AMOUNT IN ROW (11)
6.36%
-----------------------------------------------------------------------------
(14) TYPE OF REPORTING PERSON *
IN
-----------------------------------------------------------------------------
* SEE INSTRUCTIONS BEFORE FILLING OUT!
CUSIP No. 1407N104 13D/A Page 6 of 9 Pages
Item 1. Security and Issuer.
This Amendment No. 1 ("Amendment No. 1") hereby amends the Schedule
13D filed with the Securities and Exchange Commission on January 31, 2008 (the
"Original 13D," and together with this Amendment No. 1, the "Schedule 13D")
relating to the shares ("Shares") of common stock, $0.01 par value, of Captaris,
Inc. (the "Issuer").
Item 3. Source and Amount of Funds or Other Consideration.
Item 3 of the Schedule 13D is hereby amended and restated in its entirety as
follows:
As of March 14, 2008, the aggregate amount of funds used to purchase
the Shares held by the Reporting Persons was approximately $6.8 million. The
Shares beneficially owned by the Reporting Persons were acquired with investment
funds in accounts under management.
Item 4. Purpose of Transaction.
Item 4 of Schedule 13D is hereby amended and restated in its entirety as
follows:
The Reporting Persons originally acquired Shares for investment in the
ordinary course of business. As previously indicated in its Original 13D, the
Reporting Persons believe that the Shares at current market prices are
undervalued and that the maximum value of the Issuer may best be realized
through strategic alternatives. The Reporting Persons are supportive of the
Issuer's announcement to explore strategic alternatives as well as Vector
Capital Corporation's ("Vector") proposal to acquire all the outstanding Shares.
The Reporting Persons intend to engage in discussions, as deemed appropriate by
the Reporting Persons, with the management and board of directors of the Issuer
requesting them to give serious consideration to Vector's proposal and any other
acquisition proposals. In the ordinary course of their investment business, from
time to time, representatives of the Reporting Persons engage in discussions
with the management of companies in which they have invested concerning the
business and operations of the company and potential approaches to maximizing
shareholder value. The Reporting Persons have engaged, and intend to continue to
engage, in such discussions with the Issuer, other holders of the Issuer's
Shares and/or third parties.
The Reporting Persons have no present plan or proposal that would
relate to or result in any of the matters set forth in subparagraphs (a)-(j) of
Item 4 of Schedule 13D except as set forth herein or such as would occur upon
completion of any of the actions discussed herein. The Reporting Persons intend
to review their investment in the Issuer on a continuing basis. Depending on
various factors including, without limitation, the Issuer's financial position
and strategic direction, price levels of the Shares, conditions in the
securities market and general economic and industry conditions, the Reporting
Persons may in the future take such actions with respect to their investment in
the Issuer as they deem appropriate including, without limitation, purchasing
additional Shares or selling some or all of their Shares, hedging their
positions and/or otherwise changing their intentions with respect to any and all
matters referred to herein.
CUSIP No. 1407N104 13D/A Page 7 of 9 Pages
Item 5. Interest in Securities of the Company.
Item 5, sections (a) through (c), of the Schedule 13D are hereby amended and
restated in their entirety as follows:
(a) As of March 14, 2008, the Reporting Persons beneficially owned,
in the aggregate, approximately 6.36% of the Issuer's outstanding Shares. The
aggregate percentage of Shares reported to be beneficially owned by the
Reporting Persons is based upon 26,645,544 Shares outstanding, which is the
total number of Shares outstanding as of November 1, 2007, as reported in the
Issuer's Quarterly Report on Form 10-Q for the quarter ended September 30, 2007.
(b) The Reporting Persons have the following voting and dispositive
powers over the Shares reported herein:
(i) Emancipation Capital: Beneficial owner, with shared power
to vote or direct the vote and to dispose or direct the disposition, of
1,694,541 Shares, or an aggregate of 6.36% of outstanding Shares.
(ii) Emancipation Capital LLC: Beneficial owner, with shared
power to vote or direct the vote and to dispose or direct the disposition, of
1,694,541 Shares, or an aggregate of 6.36% of outstanding Shares.
(iii) Emancipation Master Ltd: Beneficial owner, with shared
power to vote or direct the vote and to dispose or direct
the disposition, of 1,694,541 Shares, or an aggregate of 6.36% of outstanding
Shares.
(iv) Mr. Frumberg: Beneficial owner, with shared power to vote
or direct the vote and to dispose or direct the disposition, of 1,694,541 Shares
and, or an aggregate of 6.36% of outstanding Shares.
(c) The following table sets forth all transactions with respect to
the Shares effected since the filing of the Original 13D by any of the Reporting
Persons, inclusive of the transactions effected through 4:00 pm, New York City
time, on March 14, 2008. All such transactions were effected in the open market.
CUSIP No. 1407N104 13D/A Page 8 of 9 Pages
-------------------- ---------- --------- --------- ------------
No. of Price Per Transaction
Name Date Shares Share (4) Type
-------------------- ---------- --------- --------- ------------
Emancipation Capital 02/28/2008 25,500 3.54 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 02/29/2008 13,700 3.52 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/03/2008 35,243 3.48 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/04/2008 17,756 3.46 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/05/2008 23,231 3.44 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/06/2008 6,800 3.38 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/07/2008 70,000 3.44 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/11/2008 5,150 3.52 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/12/2008 100,000 3.60 Purchase
-------------------- ---------- --------- --------- ------------
Emancipation Capital 03/14/2008 25,405 3.50 Purchase
-------------------- ---------- --------- --------- ------------
CUSIP No. 1407N104 13D/A Page 9 of 9 Pages
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.
Dated: March 17, 2008
EMANCIPATION CAPITAL, LP
By: Emancipation Capital, LLC, its
general partner
By: /s/ Charles Frumberg
--------------------------
Name: Charles Frumberg
Title: Managing Member
EMANCIPATION CAPITAL MASTER LTD.
By: /s/ Charles Frumberg
--------------------------
Name: Charles Frumberg
Title: Director
EMANCIPATION CAPITAL, LLC
By: /s/ Charles Frumberg
--------------------------
Name: Charles Frumberg
Title: Managing Member
CHARLES FRUMBERG
/s/ Charles Frumberg
----------------------------------