-----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, Lp1P/t1oE+b28BSl6+mlNC4zmWdS/BfHgfEumjG5premjn0BEy1wBoBbu7bTcGBT xFZHYnAbfUcfTFldZYCNuQ== 0001012870-02-001883.txt : 20020419 0001012870-02-001883.hdr.sgml : 20020419 ACCESSION NUMBER: 0001012870-02-001883 CONFORMED SUBMISSION TYPE: SC 13D PUBLIC DOCUMENT COUNT: 3 FILED AS OF DATE: 20020419 GROUP MEMBERS: LIEN Q.C. CHEN GROUP MEMBERS: LIEN Q.C. CHEN 2001 ANNUITY TRUST UTA GROUP MEMBERS: ROBERT I. CHEN 2001 ANNUITY TRUST UTA SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: RAE SYSTEMS INC CENTRAL INDEX KEY: 0001084876 STANDARD INDUSTRIAL CLASSIFICATION: MEASURING & CONTROLLING DEVICES, NEC [3829] IRS NUMBER: 770588488 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D SEC ACT: 1934 Act SEC FILE NUMBER: 005-58813 FILM NUMBER: 02615618 BUSINESS ADDRESS: STREET 1: 1339 MOFFETT PARK DRIVE CITY: SUNNYVALE STATE: CA ZIP: 95112 BUSINESS PHONE: 408-752-0723 FORMER COMPANY: FORMER CONFORMED NAME: NETTAXI INC DATE OF NAME CHANGE: 19990422 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: CHEN ROBERT I CENTRAL INDEX KEY: 0001171523 FILING VALUES: FORM TYPE: SC 13D BUSINESS ADDRESS: STREET 1: 1339 MOFFETT PARK DRIVE CITY: SUNNYVALE STATE: CA ZIP: 95112 BUSINESS PHONE: 4087520723 SC 13D 1 dsc13d.txt SCHEDULE 13-D SCHEDULE 13D - --------------------------- ------------------------ CUSIP No. 75061P 10 2 Page 1 of 9 Pages ----------- ---- ---- - --------------------------- ------------------------ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13D Under the Securities Exchange Act of 1934 RAE Systems Inc. - -------------------------------------------------------------------------------- (Name of Issuer) Common Stock - -------------------------------------------------------------------------------- (Title of Class of Securities) 75061P 10 2 - -------------------------------------------------------------------------------- (CUSIP Number) Robert I. Chen 1339 Moffett Park Drive Sunnyvale, CA 95112 (408) 752-0723 - -------------------------------------------------------------------------------- (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) April 9, 2002 - -------------------------------------------------------------------------------- (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 (S)(S) 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box [_] SCHEDULE 13D - --------------------------- ------------------------ CUSIP No. 75061P 10 2 Page 2 of 9 Pages ----------- ---- ---- - --------------------------- ------------------------ - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Robert I. Chen S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) (a) [_] (b) [_] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Unites States of America - -------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER BENEFICIALLY 3,097,380 OWNED BY ---------------------------------------------------- BY EACH 8 SHARED VOTING POWER REPORTING 10,453,658 PERSON ---------------------------------------------------- WITH 9 SOLE DISPOSITIVE POWER 3,097,380 ---------------------------------------------------- 10 SHARED DISPOSITIVE POWER 10,453,658 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 17,964,805 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (See Instructions) [_] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 40.0% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON (See Instructions) HC, IN - -------------------------------------------------------------------------------- 2 SCHEDULE 13D - --------------------------- ------------------------ CUSIP No. 75061P 10 2 Page 3 of 9 Pages ----------- ---- ---- - --------------------------- ------------------------ - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Robert I. Chen 2001 Annuity Trust UTA dated December 19, 2001 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) (a) [_] (b) [_] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Unites States of America - -------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER BENEFICIALLY 4,413,767 OWNED BY -------------------------------------------------- BY EACH 8 SHARED VOTING POWER REPORTING PERSON -------------------------------------------------- WITH 9 SOLE DISPOSITIVE POWER 4,413,767 -------------------------------------------------- 10 SHARED DISPOSITIVE POWER - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 17,964,805 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (See Instructions) [_] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 40.0% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON (See Instructions) OO - -------------------------------------------------------------------------------- 3 SCHEDULE 13D - --------------------------- ------------------------ CUSIP No. 75061P 10 2 Page 4 of 9 Pages ----------- ---- ---- - --------------------------- ------------------------ - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Lien Q.C. Chen S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) (a) [_] (b) [_] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Unites States of America - -------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER BENEFICIALLY 3,097,380 OWNED BY --------------------------------------------------- BY EACH 8 SHARED VOTING POWER REPORTING 10,453,658 PERSON --------------------------------------------------- WITH 9 SOLE DISPOSITIVE POWER 3,097,380 --------------------------------------------------- 10 SHARED DISPOSITIVE POWER 10,453,658 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 17,964,805 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (See Instructions) [_] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 40.0% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON (See Instructions) IN - -------------------------------------------------------------------------------- 4 SCHEDULE 13D - --------------------------- ------------------------ CUSIP No. 75061P 10 2 Page 5 of 9 Pages ----------- ---- ---- - --------------------------- ------------------------ - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Lien Q.C. Chen 2001 Annuity Trust UTA dated December 19, 2001 S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) (a) [_] (b) [_] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS* OO - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION Unites States of America - -------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER BENEFICIALLY 4,413,767 OWNED BY --------------------------------------------------- BY EACH 8 SHARED VOTING POWER REPORTING PERSON --------------------------------------------------- WITH 9 SOLE DISPOSITIVE POWER 4,413,767 --------------------------------------------------- 10 SHARED DISPOSITIVE POWER - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 17,964,805 - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (See Instructions) [_] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 40.0% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON (See Instructions) OO - -------------------------------------------------------------------------------- 5 SCHEDULE 13D - ------------------------------ ------------------------ CUSIP No. 75061P 10 2 Page 6 of 9 Pages ----------- --- --- - ------------------------------ ------------------------ Item 1. Security and Issuer. - ------ ------------------- This Schedule relates to shares of Common Stock of RAE Systems Inc., a Delaware corporation ("RAE"). RAE's principal executive offices are located at 1339 Moffett Park Drive, Sunnyvale, CA 95112. Item 2. Identity and Background. - ------ ----------------------- Robert I. Chen is the Chairman and Chief Executive Officer of RAE. Mr. Chen's business address is 1339 Moffett Park Drive, Sunnyvale, CA 95112. During the last five years, Mr. Chen has not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors), and was not a party to a civil proceeding of a judicial or administrative body of competent jurisdiction that resulted in 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. Mr. Chen is a citizen of the United States of America. Robert I. Chen 2001 Annuity Trust UTA dated December 19, 2001 (the "RC Trust") is organized under the laws of the State of California for the purpose of holding assets of Robert I. Chen in trust. Robert I. Chen serves as the trustee of the RC Trust. The business address of the RC Trust is c/o Robert I. Chen, RAE Systems Inc., 1339 Moffett Park Drive, Sunnyvale, CA 95112. During the last five years, the RC Trust has not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors), and was not a party to a civil proceeding of a judicial or administrative body of competent jurisdiction that resulted in 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. Lien Q.C. Chen is director of information technology and order administration of RAE. Mrs. Chen's business address is 1339 Moffett Park Drive, Sunnyvale, CA 95112. During the last five years, Mrs. Chen has not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors), and was not a party to a civil proceeding of a judicial or administrative body of competent jurisdiction that resulted in 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. Mrs. Chen is a citizen of the United States of America. Lien Q.C. Chen 2001 Annuity Trust UTA dated December 19, 2001 (the "LC Trust") is organized under the laws of the State of California for the purpose of holding assets of Lien Q.C. Chen in trust. Lien Q.C. Chen serves as the trustee of the LC Trust. The business address of the LC Trust is c/o Lien Q.C. Chen, RAE Systems Inc., 1339 Moffett Park Drive, Sunnyvale, CA 95112. During the last five years, the LC Trust has not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors), and was not a party to a civil proceeding of a judicial or administrative body of competent jurisdiction that resulted in 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. Item 3. Source and Amount of Funds or Other Consideration. - ------ ------------------------------------------------- The shares of RAE Common Stock held by the filers reported in this Schedule were acquired upon the exchange of the shares of Common Stock of RAE Systems Inc., a California corporation ("RAE California") held by the filers for shares of RAE Common Stock in connection with the merger of a wholly-owned subsidiary of RAE with and into RAE California (the "Merger") pursuant to the terms and provisions of the Merger Agreement and Plan of Reorganization 6 SCHEDULE 13D - ------------------------------ ------------------------ CUSIP No. 75061P 10 2 Page 7 of 9 Pages ----------- --- --- - ------------------------------ ------------------------ among RAE California, RAES Acquisition Corporation and RAE (formerly Nettaxi.com) (the "Reorganization Agreement") attached hereto as Exhibit 2. Item 4. Purpose of Transaction. - ------ ---------------------- The filers acquired the securities of RAE pursuant to the Merger and in exchange for their former ownership in RAE California. In connection with the anticipated filing of a Registration Statement on Form S-1 with respect to common stock of RAE, including those held by filers, filers have entered into a Lock-Up Agreement ("Lock-Up Agreement") in the form attached hereto as Exhibit 3. The full text of such exhibit is incorporated by reference herein. Except as set forth above, the filers do not have any intention to engage in any of the transactions enumerated in Items 4(a) through 4(j) of this Schedule. Item 5. Interest in Securities of the Issuer. - ------ ------------------------------------ For purposes of Rule 13d-3, Mr. Chen is the beneficial owner of 17,964,805 of Common Stock. Such shares represent approximately 40.0% of RAE's Common Stock based upon approximately 44,905,045 shares of RAE Common Stock outstanding upon the consummation of the Merger. Of the shares he beneficially owns, Mr. Chen has sole voting and power of disposition over 3,097,380 shares, and shared voting and power of disposition over 10,453,658 shares. For purposes of Rule 13d-3, the RC Trust is the beneficial owner of 17,964,805 shares of Common Stock, representing approximately 40.0% of RAE's Common Stock. Of the shares it beneficially owns, it has sole voting and power of disposition over 4,413,767 shares. For purposes of Rule 13d-3, Ms. Chen is the beneficial owner of 17,964,805 shares of Common Stock. Such shares represent approximately 40.0% of RAE's Common Stock. Of the shares she beneficially owns, Ms. Chen has sole voting and power of disposition over 3,097,380 shares, and shared voting and power of disposition over 10,453,658 shares. For purposes of Rule 13d-3, the LC Trust is the beneficial owner of 17,964,805 shares of Common Stock, representing approximately 40.0% of RAE's Common Stock. Of the shares it beneficially owns, it has sole voting and power of disposition over 4,413,767 shares. Except as described in Items 3 and 4 above, the filers have not engaged in any other transactions with respect to these shares in the past sixty days. Item 6. Contracts, Arrangements, Understandings or Relationships with Respect - ------ --------------------------------------------------------------------- to Securities of the Issuer. - --------------------------- Reference is made to the Lock-Up Agreement referred to above in Item 4 and incorporated by reference herein. 7 SCHEDULE 13D - ------------------------------ ------------------------ CUSIP No. 75061P 10 2 Page 8 of 9 Pages ----------- --- --- - ------------------------------ ------------------------ Item 7. Material to be filed as Exhibits. - ------ -------------------------------- EXHIBIT NO. DESCRIPTION - ---------- ----------- 1. Joint Filing Agreement, dated April 19, 2002 by and among Robert I. Chen, the Robert I. Chen 2001 Annuity Trust UTA dated December 19, 2001, Lien Chen and the Lien Q.C. Chen 2001 Annuity Trust UTA dated December 19, 2001. 2. Merger Agreement and Plan of Reorganization among RAE Systems Inc., RAE Acquisition Corporation and Nettaxi.com dated January 9, 2002. (1) 3. Form of Lock-Up Agreement dated April 9, 2002. (1) Incorporated by reference to the exhibit previously filed as Exhibit 2.1 to Nettaxi's Current Report on Form 8-K filed on January 10, 2002. 8 SCHEDULE 13D - ------------------------------ ------------------------ CUSIP No. 75061P 10 2 Page 9 of 9 Pages ----------- --- --- - ------------------------------ ------------------------ After reasonable inquiry and to the best of my knowledge and belief, the undersigned certify that the information set forth in this statement is true, complete and correct. Date: April 19, 2002 By: /s/ Robert I. Chen -------------------------------------- Robert I. Chen Chairman and Chief Executive Officer of RAE Systems Inc. Date: April 19, 2002 ROBERT I. CHEN 2001 ANNUITY TRUST UTA DATED DECEMBER 19, 2001 By: /s/ Robert I. Chen -------------------------------------- Robert I. Chen Trustee Date: April 19, 2002 By: /s/ Lien Q.C. Chen -------------------------------------- Lien Q.C. Chen Date: April 19, 2002 LIEN Q.C. CHEN 2001 ANNUITY TRUST UTA DATED DECEMBER 19, 2001 By: /s/ Lien Q.C. Chen -------------------------------------- Lien Q.C. Chen Trustee 9 EXHIBIT INDEX Exhibit No. Exhibit - -------------------------- --------------------------------------------------- 1. Joint Filing Agreement, dated April 19, 2002 by and among Robert I. Chen, the Robert I. Chen 2001 Annuity Trust UTA dated December 19, 2001, Lien Chen and the Lien Q.C. Chen 2001 Annuity Trust UTA dated December 19, 2001. 2. Merger Agreement and Plan of Reorganization among RAE Systems Inc., RAE Acquisition Corporation and Nettaxi.com dated January 9, 2002 (1). 3. Form of Lock-Up Agreement dated as of April 9, 2002. (1) Incorporated by reference to the exhibit previously filed as Exhibit 2.1 to Nettaxi's Current Report on Form 8-K filed on January 10, 2002. EX-1 3 dex1.txt JOINT FILING AGREEMENT DTD APRIL 19, 2002 Exhibit 1 JOINT FILING AGREEMENT The undersigned agree that the statement on Schedule 13D dated April 19, 2002 with respect to the common stock of RAE Systems Inc. is, and any amendments hereto signed by each the undersigned shall be, filed on behalf of each of us pursuant to and in accordance with the provisions of Rule 13(d) under the Securities Exchange Act of 1934, as amended. Dated April 19, 2002 By: /s/ Robert I. Chen ----------------------------------- Robert I. Chen Chairman and Chief Executive Officer of RAE Systems Inc. ROBERT I. CHEN 2001 ANNUITY TRUST UTA DATED DECEMBER 19, 2001 By: /s/ Robert I. Chen ----------------------------------- Robert I. Chen Trustee By: /s/ Lien Q.C. Chen ----------------------------------- Lien Q.C. Chen LIEN Q.C. CHEN 2001 ANNUITY TRUST UTA DATED DECEMBER 19, 2001 By: /s/ Lien Q.C. Chen ----------------------------------- Lien Q.C. Chen Trustee EX-3 4 dex3.txt FORM OF LOCK-UP AGREEMENT DTD APRIL 09, 2002 Exhibit 3 SHAREHOLDER LOCK-UP AGREEMENT April 9, 2002 RAE Systems Inc. 1339 Moffett Park Drive Sunnyvale, California 94089 Dear Sirs: The undersigned is an equity holder of RAE Systems Inc., a Delaware corporation ("RAE") publicly traded on the OTC Bulletin Board. RAE will be filing a registration statement registering certain shares of its common stock for resale. In the absence of being included in such registration statement, shares received by the undersigned would be not saleable in the public market until at least April 10, 2003. As an inducement to registering shares of RAE common stock the undersigned holds, the undersigned hereby agrees that from the date hereof and until six months (unless you are an officer or director of RAE, in which event twelve months) following April 9, 2002 (the "Lock Up Date"), the undersigned will not offer, sell, contract to sell, pledge or otherwise dispose of, directly or indirectly, any shares of common stock of RAE (the "Common Stock") that the undersigned: (i) currently holds; or (ii) acquires upon the conversion or exercise of securities held convertible into or exchangeable or exercisable for shares of Common Stock from April 9, 2002 through the Lock Up Date ((i) and (ii), the "Lock Up Shares"). Except for the Lock Up Shares, any shares of Common Stock or other securities convertible into or exchangeable or exercisable for any shares of Common Stock acquired by the undersigned after the date hereof in the open market will not be subject to this Agreement. Nothing in this Agreement shall prohibit the transfer of shares to any immediate family of the undersigned or to a trust for the direct or indirect benefit of the undersigned or the immediate family of the undersigned; provided that such transferee agrees to be bound by this Agreement. For purposes of this Agreement, "immediate family" shall mean any relationship by blood, marriage or adoption, not more remote than first cousin. In furtherance of the foregoing, RAE and its transfer agent and registrar are hereby authorized to decline to make any transfer of Lock Up Shares if such transfer would constitute a violation or breach of this Agreement. This Agreement shall be binding on the undersigned and the successors, heirs, personal representatives and assigns of the undersigned. Very truly yours, _______________________________________ (signature) _______________________________________ (printed name) -----END PRIVACY-ENHANCED MESSAGE-----