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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
----------
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 1)*
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FLAMEL TECHNOLOGIES S.A.
(Name of Issuer)
ORDINARY SHARES, NOMINAL VALUE (EURO)0.122 PER SHARE
(Title of Class of Securities)
ISIN No. FR0004018711
(CUSIP Number)(1)
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OSCAR S. SCHAFER
O.S.S. CAPITAL MANAGEMENT LP
598 MADISON AVENUE
NEW YORK, NY 10022
(212) 756-8700
(Name, Address and Telephone Number of Person
Authorized to Receive Notices of Communication)
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APRIL 29, 2005
(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 ss.ss.240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box. [ ]
- --------
(1) The Ordinary Shares have no CUSIP number. The ISIN number for the Ordinary
Shares is FR0004018711. The CUSIP number for the ADSs is 338488109.
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- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 2 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
O.S.S. Capital Management LP
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
2,065,947
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
2,065,947
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,065,947
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.7%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 3 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
Oscar S. Schafer & Partners I LP
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
100,190
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
100,190
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
100,190
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.5%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 4 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
Oscar S. Schafer & Partners II LP
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
963,387
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
963,387
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
963,387
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
4.5%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 5 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
O.S.S. Overseas Fund Ltd
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Cayman Islands
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
1,002,370
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
1,002,370
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,002,370
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
4.7%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
CO
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 6 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
O.S.S. Advisors LLC
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
1,063,577
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
1,063,577
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,063,577
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.0%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 7 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
Schafer Brothers LLC
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
2,065,947
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
2,065,947
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,065,947
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.7%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
- -------------------------- --------------------------
CUSIP No. 338488109 13D (PAGE 8 OF 13 PAGES)
ISIN No. FR0004018711
- -------------------------- --------------------------
- -------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSONS
Oscar S. Schafer
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
- -------- -----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [X]
(b) [ ]
- -------- -----------------------------------------------------------------------
3 SEC USE ONLY
- -------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- -------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [ ]
- -------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware, USA
- -------- -----------------------------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
0
------ ------------------------------------------------
BENEFICIALLY OWNED BY 8 SHARED VOTING POWER
2,065,947
------ ------------------------------------------------
EACH REPORTING 9 SOLE DISPOSITIVE POWER
0
------ ------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER
2,065,947
- -------- -----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,065,947
- -------- -----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- -------- -----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.7%
- -------- -----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
- -------- -----------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
EXPLANATORY NOTE
This Amendment No. 1 to Schedule 13D ("Amendment No. 1") is being filed on
behalf of Oscar S. Schafer & Partners I LP, a Delaware limited partnership ("OSS
I LP"), Oscar S. Schafer & Partners II LP, a Delaware limited partnership ("OSS
II LP" and together with OSS I LP, the "Limited Partnerships"), O.S.S. Advisors
LLC, a Delaware limited liability company (the "General Partner"), O.S.S.
Overseas Fund Ltd., a Cayman Islands exempted company ("OSS Overseas"), O.S.S.
Capital Management LP, a Delaware limited partnership, (the "Investment
Manager"), Schafer Brothers LLC, a Delaware limited liability company ("SB
LLC"), and Mr. Oscar S. Schafer ("Mr. Schafer", and together with the Limited
Partnerships, the General Partner, OSS Overseas, the Investment Manager and SB
LLC, the "Reporting Persons"), who serves as the senior managing member of the
General Partner and SB LLC. This Amendment No. 1 relates to the ordinary shares,
nominal value (euro)0.122 per share ("Ordinary Shares"), of Flamel Technologies
S.A., a SOCIETE ANONYME organized under the laws of the Republic of France (the
"Issuer"), and amends the Schedule 13D filed with the United States Securities
and Exchange Commission on April 18, 2005 (the "Original Schedule 13D").
Capitalized terms used in this Amendment No.1 but not otherwise defined herein
shall have the meanings ascribed to them in the Original Schedule 13D. Except as
amended hereby the Original Schedule 13D remains in effect.
ITEM 1. SECURITY AND ISSUER
Item 1 of the Original Schedule 13D is amended by deleting the final
paragraph thereof and substituting the following paragraph:
As set forth more fully in Item 4, pursuant to and in accordance with the
Deposit Agreement ("Deposit Agreement"), dated as of June 6, 1996, as amended
and restated as of August 10, 2001, among the Issuer, the Bank of New York, as
depositary (the "Depositary"), and the holders of the ADSs issued thereunder,
the Limited Partnerships and OSS Overseas have surrendered their ADSs to the
Depositary, and withdrawn the corresponding number of underlying Ordinary
Shares. As of April 29, 2005, the underlying Ordinary Shares have been
transferred to accounts registered in the names of the Limited Partnerships and
OSS Overseas in the share registry of the Issuer.
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION
Item 3 of the Original Schedule 13D is amended and supplemented by adding
at the end thereof the following text:
The Depositary charged a fee of $5.00 per 100 ADSs (or portion thereof) in
connection with the surrender of the ADSs and the withdrawal of the underlying
Ordinary Shares. The total amount of funds used by each of the Partnerships and
OSS Overseas to pay such fees of the Depositary was furnished from the
investment capital of the Limited Partnerships and OSS Overseas, as applicable.
The aggregate fees paid to the Depositary in respect of the withdrawal of
the 100,190 Ordinary Shares owned by OSS I were $5,010.
- 9 -
The aggregate fees paid to the Depositary in respect of the withdrawal of
the 963,387 Ordinary Shares owned by OSS II were $48,170.
The aggregate fees paid to the Depositary in respect of the withdrawal of
the 1,002,370 Ordinary Shares owned by OSS Overseas were $50,120.
ITEM 4. PURPOSE OF TRANSACTION
Item 4 of the Original Schedule 13D is amended and supplemented by adding
between the third and the fourth paragraph thereof, the following text:
The Reporting Persons have taken all actions necessary to cause OSS I LP,
OSS II LP and OSS Overseas to become, as of April 29, 2005, the registered
holders of the 100,190, 963,387, and 1,002,370 Ordinary Shares that they
previously beneficially owned in the form of ADSs. The Ordinary Shares are held
in pure registered form (TITRES NOMINATIFS PURS) in accounts registered in the
names of OSS I LP, OSS II LP and OSS Overseas, respectively, in the share
registry of the Issuer. Accordingly, as holders in concert of more than 5% of
the Ordinary Shares, pursuant to Article L. 225-105 of the French Commercial
Code (CODE DE COMMERCE), OSS I LP, OSS II LP and OSS Overseas have the right to
require the Issuer to include draft resolutions (including, without limitation,
resolutions relating to the removal and election of directors) on the agenda for
the 2005 AGM and to include the text of the draft resolutions in the materials
sent by the Issuer to shareholders in connection with the 2005 AGM.
On April 29, 2005, pursuant to and in accordance with Article L. 233-7 of
the French Commercial Code (CODE DE COMMERCE), the Reporting Persons caused a
notice (the "Notice") to be sent to the Issuer disclosing that in concert
(within the meaning of Article L. 233-10 of the French Commercial Code (CODE DE
COMMERCE)) the Reporting Persons held more than 5% of the outstanding share
capital and voting rights of the Issuer. The Notice also requested, pursuant to
Art. 129 of Decret No. 67-238 dated as of March 23, 1967, that the Issuer inform
the Limited Partners and OSS Overseas of the address to which they should
deliver certificates (ATTESTATIONS D'INSCRIPTION EN COMPTE) attesting the number
of Ordinary Shares that they hold, in the event that they wish to exercise their
right as holders of more than 5% of the Ordinary Shares to require the Issuer to
include a draft resolution on the agenda of the 2005 AGM. The Notice also
requested that the Issuer inform the Reporting Persons of the expected date of
the 2005 AGM. A copy of the Notice is filed as Exhibit 2 to this Amendment No. 1
and is incorporated herein by reference.
ITEM 5. INTERESTS IN SECURITIES OF THE ISSUER
(c) Paragraph (c) of Item 5 is amended and supplemented by adding at the
end thereof the following paragraph:
On April 29, 2005, in connection with the surrender of the ADSs and the
withdrawal of the underlying Ordinary Shares, the Bank of New York caused
100,190, 963,387, and 1,002,370 Ordinary Shares to be transferred to accounts
registered in the names of OSS I LP, OSS II LP and OSS Overseas, respectively,
in the share registry of the Issuer. This transaction did not involve any change
in the number of Ordinary Shares beneficially owned by the Reporting Persons.
- 10 -
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO THE SECURITIES OF THE ISSUER
Item 6 of the Original Schedule 13D is amended and supplemented by
inserting at the end thereof the following paragraph:
Having surrendered all their ADSs and withdrawn the corresponding number of
Ordinary Shares, none of the Reporting Persons remains a party to the Deposit
Agreement.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
Item 7 of the Original Schedule 13D is amended and restated in its entirety
to read as follows:
The following are filed as exhibits to this statement on Schedule 13D:
Exhibit 1 Joint Filing Agreement (previously filed with the Original
Schedule 13D on April 18, 2008).
Exhibit 2 Notice of Ownership of More than 5% of Share Capital and
Voting Rights Delivered to the Issuer pursuant to Article
233-7 of the French Commercial Code (CODE DE COMMERCE).
- 11 -
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: April 29, 2005
/s/ Oscar S. Schafer
------------------------------
Oscar S. Schafer, individually
O.S.S. CAPITAL MANAGEMENT LP
By: Schafer Brothers LLC
as General Partner
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Senior Managing Member
OSCAR S. SCHAFER & PARTNERS I LLP
By: O.S.S. Advisors LLC
as General Partner
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Senior Managing Member
OSCAR S. SCHAFER & PARTNERS II LLP
By: O.S.S. Advisors LLC
as General Partner
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Senior Managing Member
- 12 -
O.S.S. OVERSEAS FUND LTD
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Director
O.S.S. ADVISORS LLC
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Senior Managing Member
SCHAFER BROTHERS LLC
By: /s/ Oscar S. Schafer
------------------------------
Name: Oscar S. Schafer
Title: Senior Managing Member
- 13 -
EXHIBIT 2
[LETTERHEAD OF O.S.S. CAPITAL MANAGEMENT LP]
April 29, 2005
BY FACSIMILE AND FEDERAL EXPRESS
Gerard Soula
President Directeur General
Flamel Technologies S.A.
Parc Club du Moulin a Vent
33 avenue du Dr. Georges Levy
69693 Venissieux cedex France
Re: Notice of Ownership of More than 5% of Share Capital and Voting Rights
of Flamel Technologies S.A. pursuant to Article L. 233-7 of the CODE
DE COMMERCE.
Monsieur le President:
This letter is to advise you that pursuant to and in accordance with
Section 2.5 of the Deposit Agreement, dated as of June 6, 1996, as amended and
restated as of August 10, 2001, by and among Flamel Technologies S.A., a SOCIETE
ANONYME incorporated under the laws of the Republic of France ("Flamel"), the
Bank of New York, a New York banking corporation, as depositary (the
"Depositary"), and the owners and holders of American Depositary Receipts
("Flamel ADSs") issued thereunder, Oscar S. Schafer & Partners I LP, a Delaware
limited partnership, Oscar S. Schafer & Partners II LP, a Delaware limited
partnership, and O.S.S. Overseas Fund Ltd., a Cayman Islands exempted company,
which entities may be deemed to be acting in concert (DE CONCERT) within the
meaning of Art. L. 233-10 of the French Commercial Code (CODE DE COMMERCE), have
surrendered their Flamel ADSs to the Depositary and withdrawn the underlying
ordinary shares of Flamel ("Ordinary Shares"). As a result, as of April 29,
2005, Oscar S. Schafer & Partners I LP, Oscar S. Schafer & Partners II LP, and
O.S.S. Overseas Fund Ltd. hold in pure registered form (TITRES NOMINATIFS PURS),
DE CONCERT, an aggregate of 2,065,947 Ordinary Shares, representing 9.66 % of
the share capital and voting rights of Flamel, based on the number of shares
outstanding disclosed in the Annual Report on Form 20-F for the year ended
December 31, 2003, as filed with the United States Securities and Exchange
Commission. The Ordinary Shares are held in registered accounts in the names of
the foregoing entities as follows:
- ---------------------------------- -------------------- ----------------------
PERCENTAGE OF FLAMEL
NUMBER OF ORDINARY SHARE CAPITAL AND
REGISTERED HOLDER SHARES VOTING RIGHTS
- ---------------------------------- -------------------- ----------------------
Oscar S. Schafer & Partners I LP 100,190 0.47%
- ---------------------------------- -------------------- ----------------------
Oscar S. Schafer & Partners II LP 963,387 4.50%
- ---------------------------------- -------------------- ----------------------
O.S.S. Overseas Fund Ltd. 1,002,370 4.69%
- ---------------------------------- -------------------- ----------------------
TOTAL 2,065,947 9.66%
- ---------------------------------- -------------------- ----------------------
Accordingly, as of April 29, 2005, Oscar S. Schafer & Partners I LP, Oscar S.
Schafer & Partners II LP, and O.S.S. Overseas Fund Ltd. hold, DE CONCERT, more
than 5% of the outstanding share capital and voting rights of Flamel. This
notice of ownership of share capital and voting rights is, therefore, being
delivered to Flamel in accordance with the provisions of Article L.233-7 of the
French Commercial Code (CODE DE COMMERCE).
In addition, O.S.S. Advisors LLC, a Delaware limited liability company,
O.S.S. Capital Management LP, a Delaware limited partnership, and Schafer
Brothers LLC, a Delaware limited liability company, none of which hold any
Ordinary Shares registered in their own names, may also be deemed to be acting
DE CONCERT with Oscar S. Schafer & Partners I LP, Oscar S. Schafer & Partners II
LP, and O.S.S. Overseas Fund Ltd. because these entities are under common
control and may have shared power to direct the disposition or the voting of the
Ordinary Shares set forth above that are held by and registered in the names of
Oscar S. Schafer & Partners I LP, Oscar S. Schafer & Partners II LP, and O.S.S.
Overseas Fund Ltd.
By this notice, pursuant to and in accordance with Art. 129 of DECRET No.
67-238, DATED AS OF MARCH 23, 1967, Flamel is requested on behalf of Oscar S.
Schafer & Partners I LP, Oscar S. Schafer & Partners II LP, and O.S.S. Overseas
Fund Ltd., to advise them of (i) the place where they should deliver
certificates (ATTESTATIONS D'INSCRIPTION EN COMPTE) attesting that the 2,065,947
Ordinary Shares set forth above are held in registered accounts in their
respective names, and (ii) the proposed date of the forthcoming annual general
meeting of the shareholders of Flamel. The foregoing information should be sent
as soon as possible by e-mail to the following address: oschafer@osscapital.com.
Pursuant to Art. 120-1 of DECRET No. 67-238, DATED AS OF MARCH 23, 1967, this
notice constitutes the express written agreement of the undersigned parties to
be notified by e-mail at the foregoing e-mail address. In addition, Flamel is
requested to confirm the foregoing information in writing by registered mail
(PAR LETTRE RECOMMANDE AVEC DEMAND D'AVIS DE RECEPTION).
Sincerely,
/s/ Oscar S. Schafer
--------------------------------------
Oscar S. Schafer, individually and
(a) as Director, for O.S.S. Overseas Fund Ltd.;
and
(b) as Senior Managing Member of:
(1) O.S.S. Advisors LLC, for itself and as
the general partner of
(A) Oscar S. Schafer & Partners I LP;
and
(B) Oscar S. Schafer & Partners II LP;
and
(2) Schafer Brothers LLC, for itself and as
the general partner of
O.S.S. Capital Management LP