-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, P5IruOVnLdslUBUcw+o4bTBWpEd9/xxVQwjvLjVRvYou9B8AB27APZeo9gx0rhMl XY3D4Xcj3vPYnUH7Yj83WQ== 0000929624-98-001005.txt : 19980519 0000929624-98-001005.hdr.sgml : 19980519 ACCESSION NUMBER: 0000929624-98-001005 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 19980518 SROS: NASD GROUP MEMBERS: JAY C. HOAG GROUP MEMBERS: RICHARD H. KIMBALL GROUP MEMBERS: TCV II (Q), L.P. GROUP MEMBERS: TCV II STRATEGIC PARTNERS, L.P. GROUP MEMBERS: TCV II, V.O.F. GROUP MEMBERS: TECHNOLOGY CROSSOVER MANAGEMENT II LLC GROUP MEMBERS: TECHNOLOGY CROSSOVER MANAGEMENT, L.L.C. GROUP MEMBERS: TECHNOLOGY CROSSOVER VENTURES II, C.V. GROUP MEMBERS: TECHNOLOGY CROSSOVER VENTURES II, L.P. GROUP MEMBERS: TECHNOLOGY CROSSOVER VENTURES, C.V. GROUP MEMBERS: TECHNOLOGY CROSSOVER VENTURES, L.P. SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: DIGITAL GENERATION SYSTEMS INC CENTRAL INDEX KEY: 0000934448 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-ADVERTISING AGENCIES [7311] IRS NUMBER: 943140772 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: SEC FILE NUMBER: 005-49603 FILM NUMBER: 98627423 BUSINESS ADDRESS: STREET 1: 875 BATTERY ST STREET 2: STE 1850 CITY: SAN FRANCISCO STATE: CA ZIP: 94111 BUSINESS PHONE: 4155466600 MAIL ADDRESS: STREET 1: 875 BATTERY ST CITY: SAN FRANCISCO STATE: CA ZIP: 94111 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: TECHNOLOGY CROSSOVER MANAGEMENT II LLC CENTRAL INDEX KEY: 0001040275 STANDARD INDUSTRIAL CLASSIFICATION: [] IRS NUMBER: 770439710 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 56 MAIN ST STREET 2: STE 210 CITY: MILLBURN STATE: NJ ZIP: 07041 BUSINESS PHONE: 9734675320 MAIL ADDRESS: STREET 1: 56 MAIN ST STREET 2: STE 210 CITY: MILLBURN STATE: NJ ZIP: 07041 SC 13D/A 1 AMENDMENT #1 TO SCHEDULE 13D UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 SCHEDULE 13D UNDER THE SECURITIES EXCHANGE ACT OF 1934 (AMENDMENT NO. 1 )* Digital Generation Systems, Inc. - -------------------------------------------------------------------------------- (Name of Issuer) Common Stock - -------------------------------------------------------------------------------- (Title of Class of Securities) 253921 10 0 - -------------------------------------------------------------------------------- (CUSIP Number) Robert C. Bensky c/o Technology Crossover Ventures 56 Main Street, Suite 210, Millburn, NJ 07041 (973) 467-5320 - -------------------------------------------------------------------------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) August 26, 1997 - -------------------------------------------------------------------------------- (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(b) for other parties to whom copies are to be sent. *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). SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 2 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER VENTURES, L.P. SEE ITEM 2 FOR IDENTIFICATION OF GENERAL PARTNER I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 440,594 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 440,594 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 440,594 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 3.5% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 691,863 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 262,128 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 3 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER VENTURES, C.V. SEE ITEM 2 FOR LIST OF GENERAL PARTNERS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Netherlands Antilles - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 34,892 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 34,892 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 34,892 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 0.3% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 1,097,565 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 20,758 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 4 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER MANAGEMENT, L.L.C. SEE ITEM 2 FOR LIST OF MANAGING MEMBERS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 OO - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 475,486 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 475,486 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 475,486 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 3.8% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 OO - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 656,971 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 282,886 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 5 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER VENTURES II, L.P. SEE ITEM 2 FOR IDENTIFICATION OF GENERAL PARTNER I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 314,278 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 314,278 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 314,278 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 2.5% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 818,179 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 270,650 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 6 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TCV II (Q), L.P. SEE ITEM 2 FOR IDENTIFICATION OF GENERAL PARTNER I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 241,619 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 241,619 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 241,619 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 1.9% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 890,838 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 208,079 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 7 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TCV II STRATEGIC PARTNERS, L.P. SEE ITEM 2 FOR IDENTIFICATION OF GENERAL PARTNER I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 42,880 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 42,880 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 42,880 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 0.4% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 1,089,577 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 36,927 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 8 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER VENTURES II, C.V. SEE ITEM 2 FOR A LIST OF GENERAL PARTNERS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Netherlands Antilles - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 47,986 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 47,986 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 47,986 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 0.4% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 1,084,471 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 41,323 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 9 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TCV II, V.O.F SEE ITEM 2 FOR A LIST OF MANAGING GENERAL PARTNERS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 WC - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Netherlands Antilles - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 10,208 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 10,208 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 10,208 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 0.1% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 PN - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 1,122,249 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 8,792 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 10 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ 1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER MANAGEMENT II, L.L.C. SEE ITEM 2 FOR A LIST OF MANAGING MEMBERS I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 OO - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 656,971 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 0 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 656,971 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 656,971 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [X] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 5.1% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 OO - ------------------------------------------------------------------------------ (A) Excludes an aggregate of 475,486 shares owned beneficially by the other reporting persons indicated in this Schedule 13D, as to which this reporting person disclaims beneficial ownership. Includes 565,771 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 11 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ NAME OF REPORTING PERSON JAY C. HOAG 1 I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 00 - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 U.S. Citizen - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 0 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 1,132,457 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 1,132,457 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 1,132,457 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.7% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 IN - ------------------------------------------------------------------------------ (A) Includes 848,657 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 12 OF 18 PAGES - ------------------------------------------------------------------------------ - ------------------------------------------------------------------------------ NAME OF REPORTING PERSON RICHARD H. KIMBALL 1 I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY) - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) 2 (a) [_] (b) [X] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS (SEE INSTRUCTIONS) 4 OO - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 5 ITEMS 2(d) or 2(e) [_] - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 U.S. Citizen - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 0 (A) SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 1,132,457 (A) OWNED BY ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 1,132,457 (A) PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 0 (A) - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 1,132,457 (A) - ------------------------------------------------------------------------------ CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [_] 12 (SEE INSTRUCTIONS) - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.7% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) 14 IN - ------------------------------------------------------------------------------ (A) Includes 848,657 shares of Series A Convertible Preferred Stock which are immediately convertible into Common Stock on a one-to-one basis. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 13 OF 18 PAGES - ------------------------------------------------------------------------------ Defined Terms. - ------------- Capitalized terms not otherwise defined herein shall have the meanings given them in the original Schedule 13D relating to the Common Stock of the Issuer filed by the undersigned with the Commission on September 5, 1997 (file number 005-49603). Item 1. Security and Issuer. ------------------- The title of the class of securities to which this Schedule 13D relates is Common Stock ("Common Stock") of Digital Generation Systems, Inc., a California corporation (the "Issuer"). This Schedule 13D also relates to Common Stock issuable upon the conversion of Series A Convertible Preferred Stock (which currently is convertible on a 1:1 basis). The principal executive offices of the Issuer are located at 875 Battery Street, Suite 1850, San Francisco, CA 94111 Item 3. Source and Amount of Funds or Other Consideration. ------------------------------------------------- All of the securities of the Issuer disclosed on the cover pages to this Schedule 13D are held of record by the entities listed below. The source of funds used in the acquisition of such securities, in each case, was the general working capital of such entities. Such working capital was contributed by such entities' respective partners.
Aggregate --------- Number of Aggregate Weighted Average --------- --------- ---------------- Holder Shares(1) Amount Paid Price Per Share - ------- ---------- ------------ --------------- TCV I, L.P. 440,594 $2,134,344 $4.84 TCV I, C.V. 34,892 $ 169,034 $4.84 TCV II, V.O.F. 10,208 $ 35,743 $3.50 TCV II, L.P. 314,278 $1,100,425 $3.50 TCV II (Q) 241,619 $ 846,015 $3.50 TCV II Strategic Partners 42,880 $ 150,142 $3.50 TCV II, C.V. 47,986 $ 168,019 $3.50 Totals 1,132,457 $4,603,722 $4.07
- ------------------------------------------ (1) Includes both open market purchases of Common Stock and Series A Convertible Preferred Stock purchased from the Issuer in a private placement transaction. Item 5. Interest in Securities of the Issuer. ------------------------------------ (a) and (b) Except to the extent otherwise expressly stated herein, this Schedule 13D shall not be construed as an admission that any Item 2 Person is, either for purposes of Section 13(d) or 13(g) of the Act or for other purposes, the beneficial owner of any Common Stock disclosed in this Schedule 13D. The aggregate number and percentage of the class of securities identified pursuant to SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 14 OF 18 PAGES - ------------------------------------------------------------------------------ Item 1 of this Schedule 13D that, pursuant to Rule 13d-3, may be deemed to be beneficially owned by each Item 2 Person are as follows:
Common Stock ------------ Beneficially Dispositive ------------ ----------- Item 2 Person Owned % of Class(1) Voting Power Power ------------- ----- ------------- ------------ ----- TCV I, L.P. (2) 440,594 3.5% sole sole TCV I, C.V. (2) 34,892 0.3% sole sole TCM I 475,486 3.8% sole sole TCA I 0 0% N/A N/A TCV II, L.P. (3) 314,278 2.5% sole sole TCV II (Q) (3) 241,619 1.9% sole sole TCV II Strategic 42,880 0.4% sole sole Partners (3) TCV II, C.V. (3) 47,986 0.4% sole sole TCV II, V.O.F.(3) 10,208 0.1% sole sole TCM II 656,971 5.1% sole sole TCA II 0 0% N/A N/A Hoag (4) 1,132,457 8.7% shared sole Kimball (4) 1,132,457 8.7% shared sole
____________________________________ (1) All percentages in this table are based, pursuant to Rule 13d-1(j) of the Securities Exchange Act of 1934, on the 12,210,625 shares of Common Stock of the Company outstanding as of March 27, 1998, as reported in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 1997, and on the shares of Series A Convertible Preferred Stock of the Company beneficially owned by the listed Item 2 Persons which have been included on an as-converted to Common Stock basis. (2) Each noted entity (together, the "TCV I Funds") is the holder of record of the securities set forth opposite the name of such entity and has sole voting and investment power with respect to such securities. TCM I, as sole General Partner of TCV I, L.P. and as Investment General Partner of TCV I, C.V., may also be deemed to have sole voting and investment power with respect to such securities. TCM I disclaims beneficial ownership of such securities except to the extent of its pecuniary interest therein. (3) Each noted entity (together, the "TCV II Funds") is the holder of record of the securities set forth opposite the name of such entity and has sole voting and investment power with respect to such securities. TCM II, as sole General SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 15 OF 18 PAGES - ------------------------------------------------------------------------------ Partner of TCV II, L.P., TCV II (Q) and TCV II Strategic Partners and as Investment General Partner of TCV II, C.V. and TCV II, V.O.F., may also be deemed to have sole voting and investment power with respect to such securities. TCM II disclaims beneficial ownership of such securities except to the extent of its pecuniary interest therein. (4) Under the operating agreements of both TCM I and TCM II, Hoag and Kimball have the independent power to cause the funds managed by such entities to buy and sell securities of publicly traded portfolio companies, however, in general, they must act by unanimous consent with respect to all other matters, including directing the voting of such securities. As a result, Hoag and Kimball may also be deemed to have sole dispositive power and shared voting power with respect to the securities held by the TCV I Funds and the TCV II Funds. Hoag and Kimball disclaim beneficial ownership of such securities except to the extent of their respective pecuniary interests therein. (c) The following is a list of all transactions in the Issuer's securities by the Item 2 Persons effected during the past sixty days. All of such transactions were open market transactions.
Aggregate Percentage Ownership ------------------------------ Price of All Item 2 Persons After ----- -------------------------- Shares Per Transactions Effected on Date ------ --- ------------------------------ Purchaser Date Purchased Share Listed --------- ---- --------- ------ ------ TCV I, L.P. 5-6-98 10,749 $3.75 8.7%(1) TCV I, C.V. 5-6-98 851 $3.75 8.7%(1) TCV II, V.O.F. 5-6-98 363 $3.75 8.7%(1) TCV II, L.P. 5-6-98 11,194 $3.75 8.7%(1) TCV II (Q) 5-6-98 8,606 $3.75 8.7%(1) TCV II Strategic 5-6-98 1,528 $3.75 8.7%(1) Partners TCV II, C.V. 5-6-98 1,709 $3.75 8.7%(1)
___________________________________ (1) This percentage is based, pursuant to Rule 13d-1(j) of the Securities Exchange Act of 1934, on the 12,210,625 shares of Common Stock of the Company outstanding as of March 27, 1998, as reported in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 1997, and on the shares of Series A Convertible Preferred Stock of the Company beneficially owned by the listed Item 2 Persons which have been included on an as-converted to Common Stock basis. (d) Inapplicable. (e) Inapplicable. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 16 OF 18 PAGES - ------------------------------------------------------------------------------ Item 7. Material to be Filed as Exhibits. -------------------------------- The following exhibit was filed as Exhibit A to the Schedule 13D relating to the Common Stock of the Issuer filed by the undersigned with the Commission on September 5, 1997 and is hereby incorporated herein by reference: A - Statement Appointing Designated Filer and Authorized Signer dated September 5, 1997 The following exhibits were filed with the Commission by the Issuer as Exhibits 2.2 and 2.3 to its Current Report on Form 8-K on August 1, 1997 and are incorporated herein by reference. B - Preferred Stock Purchase Agreement by and among Digital Generation Systems, Inc. and the parties named therein, dated as of July 14, 1997. C - Amendment to Preferred Stock Purchase Agreement, dated as of July 23, 1997. SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 17 OF 18 PAGES - ------------------------------------------------------------------------------ SIGNATURE 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 May 18, 1998 TECHNOLOGY CROSSOVER VENTURES, L.P., a Delaware Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TECHNOLOGY CROSSOVER VENTURES, C.V., a Netherlands Antilles Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TECHNOLOGY CROSSOVER MANAGEMENT, L.L.C., a Delaware Limited Liability Company By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TECHNOLOGY CROSSOVER VENTURES II, L.P., a Delaware Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TCV II (Q), L.P., a Delaware Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TCV II STRATEGIC PARTNERS, L.P., a Delaware Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TECHNOLOGY CROSSOVER VENTURES II, C.V., a Netherlands Antilles Limited Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory TCV II, V.O.F., a Netherlands Antilles General Partnership By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory SCHEDULE 13D - ------------------------------------------------------------------------------ CUSIP NO. 253921 10 0 PAGE 18 OF 18 PAGES - ------------------------------------------------------------------------------ TECHNOLOGY CROSSOVER MANAGEMENT II, L.L.C., a Delaware Limited Liability Company By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory Jay C. Hoag By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory Richard H. Kimball By: /s/ Robert C. Bensky ---------------------- Robert C. Bensky, Authorized Signatory -----END PRIVACY-ENHANCED MESSAGE-----