SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. )
KATY INDUSTRIES, INC.
---------------------
(Name of Issuer)
COMMON STOCK, $1.00 par value per share
---------------------------------------
(Title of Class of Securities)
486-026-107
-----------
(CUSIP Number)
Mr. Christopher Lacovara
KKTY Holding Company, L.L.C.
c/o Kohlberg & Co., L.L.C.
111 Radio Circle
Mount Kisco, New York 10549
(914) 241-7430
--------------
(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
With Copies to:
Raul Grable, Esq.
Hunton & Williams
200 Park Avenue
New York, New York 10166-0136
March 29, 2001
--------------
(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 Rules 13d-1(e), (f) or (g),
check the following box [_].
Page 1 of 15 Pages
------------------------------- ----------------------------
CUSIP NO. 486-026-107 13D Page 2 of 15 Pages
------------------------------- ----------------------------
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NAME OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
KKTY Holding Company, L.L.C. (13-4162459)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON
14
OO
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities
covered by this statement.
------------------------------ ---------------------------
CUSIP NO. 486-026-107 13D Page 3 of 15 Pages
------------------------------ ---------------------------
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NAME OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Kohlberg Investors, IV, L.P. (13-4134452)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON
14
PN
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities
covered by this statement.
------------------------------- ----------------------------
CUSIP NO. 486-026-107 13D Page 4 of 15 Pages
------------------------------- ----------------------------
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NAME OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Kohlberg TE Investors IV, L.P. (13-4147089)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEM 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON
14
PN
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities
covered by this statement.
-------------------------- ------------------------
CUSIP NO. 486-026-107 13D Page 5 of 15 Pages
-------------------------- ------------------------
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NAMES OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (entities only).
Kohlberg Offshore Investors IV, L.P. (applied for)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (See Instructions)
14
PN
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities covered
by this statement.
-------------------------- ------------------------
CUSIP NO. 486-026-107 13D Page 6 of 15 Pages
-------------------------- ------------------------
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NAMES OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (entities only).
Kohlberg Partners IV, L.P. (13-4134599)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON
14
PN
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities covered
by this statement.
-------------------------- ------------------------
CUSIP NO. 486-026-107 13D Page 7 of 15 Pages
-------------------------- ------------------------
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NAMES OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (entities only).
Kohlberg Management IV, L.L.C. (13-4134598)
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
Delaware
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (See Instructions)
14
OO
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities covered
by this statement.
-------------------------- ------------------------
CUSIP NO. 486-026-107 13D Page 8 of 15 Pages
-------------------------- ------------------------
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NAMES OF REPORTING PERSONS
1 I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (entities only).
James A. Kohlberg
------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
2 (a) [_]
(b) [X]
------------------------------------------------------------------------------
SEC USE ONLY
3
------------------------------------------------------------------------------
SOURCE OF FUNDS
4
OO
------------------------------------------------------------------------------
CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [_]
5
------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
United States
------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF
0
SHARES -----------------------------------------------------------
SHARED VOTING POWER
BENEFICIALLY 8
OWNED BY 2,500,000*
-----------------------------------------------------------
EACH SOLE DISPOSITIVE POWER
9
REPORTING
0
PERSON -----------------------------------------------------------
SHARED DISPOSITIVE POWER
WITH 10
1,500,000*
------------------------------------------------------------------------------
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11
2,500,000*
------------------------------------------------------------------------------
CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
12
17,000* [X]
------------------------------------------------------------------------------
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
13
29.8%
------------------------------------------------------------------------------
TYPE OF REPORTING PERSON (See Instructions)
14
IN
------------------------------------------------------------------------------
* The reporting person expressly disclaims beneficial ownership of any shares
other than the shares owned of record, if any, by the reporting person. The
filing of this statement shall not be deemed to be an admission that the
reporting person is, for the purposes of Section 13(d) or 13(g) of the
Securities Exchange Act of 1934, the beneficial owner of any securities covered
by this statement.
Item 1. Security and Issuer.
-------------------
The class of equity securities to which this statement relates is the
common stock, $1.00 par value per share (the "Shares"), of Katy Industries,
Inc., a Delaware corporation (the "Issuer"). The principal executive offices of
the Issuer are located at 6300 S. Syracuse Way, Suite 300, Englewood, Colorado
80111-6723.
Item 2. Identity and Background
-----------------------
(a) - (c) and (f) The names of the persons filing this statement are KKTY
Holding Company, L.L.C., a Delaware limited liability company ("KKTY Holding
Company"), Kohlberg Investors IV, L.P., a Delaware limited partnership
("Investors IV"), Kohlberg TE Investors IV, L.P., a Delaware limited partnership
("TE Investors IV"), Kohlberg Offshore Investors IV, L.P., a Delaware limited
partnership ("Offshore Investors IV"), Kohlberg Partners IV, L.P., a Delaware
limited partnership ("Partners IV" and, collectively with Investors IV, TE
Investors IV and Offshore Investors, "Kohlberg Fund IV"), Kohlberg Management
IV, L.L.C., a Delaware limited liability company ("Kohlberg Management IV"), and
James A. Kohlberg, a United States citizen ("Mr. Kohlberg"). KKTY Holding
Company, Kohlberg Fund IV, Kohlberg Management IV and Mr. Kohlberg are
hereinafter sometimes referred to as the "Reporting Persons."
The address of the principal business and the principal office of each of
the Reporting Persons is 111 Radio Circle, Mount Kisco, New York 10549. The
name, business address, present principal occupation or employment and
citizenship of each controlling person of each of the Reporting Persons (other
than Mr. Kohlberg) is set forth on Appendix A.
KKTY Holding Company was recently formed for the purpose of making the
Offer (as defined in Item 4) and, to date, has engaged in no other activities
other than those incidental to the Offer, the Preferred Stock Purchase (as
defined in Item 4) and the Recapitalization Agreement (as defined in Item 4). A
majority of the outstanding membership interests of KKTY Holding Company are
beneficially owned in the aggregate by Kohlberg Fund IV. Kohlberg Fund IV is a
private investment fund comprised of four limited partnerships - Investors IV,
TE Investors IV, Offshore Investors IV and Partners IV. The Offer and Preferred
Stock Purchase represent Kohlberg Fund IV's first investment and, to date,
Kohlberg Fund IV has engaged in no activities other than the formation of KKTY
Holding Company and those other activities incidental to the Offer, the
Preferred Stock Purchase and the Recapitalization Agreement. The general partner
of each of the limited partnerships that comprise Kohlberg Fund IV is Kohlberg
Management IV, which was formed for the purpose of forming each of Kohlberg Fund
IV's limited partnerships and, to date, has engaged in no other activities other
than those incidental to such formations. Mr. Kohlberg is an authorized manager
of KKTY Holding Company and the managing member of Kohlberg Management IV and
has been a principal of Kohlberg & Co., L.L.C. ("Kohlberg & Co."), a private
merchant banking firm, for more than the past five years. The business address
of Kohlberg & Co. is 111 Radio Circle, Mount Kisco, New York 10549.
Page 9 of 15 Pages
(d) - (e) During the last five years, none of the Reporting Persons nor, to
the best knowledge of any of the Reporting Persons, any of the persons set forth
on Appendix A, was convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors). During the last five years, none of the
Reporting Persons nor, to the best knowledge of any of the Reporting Persons,
any of the persons set forth on Appendix A, was a party to a civil proceeding of
a judicial or administrative body of competent jurisdiction and as a result of
such proceeding was or is subject to a judgment, decree or final order enjoining
future violations of, or prohibiting or mandating activities subject to, United
States Federal or State securities laws or finding any violations with respect
to such laws.
Item 3. Source and Amount of Funds or Other Consideration.
--------------------------------------------------
Not applicable.
Item 4. Purpose of Transaction.
----------------------
On March 29, 2001 KKTY Holding Company entered into a Preferred Stock
Purchase and Recapitalization Agreement (the "Recapitalization Agreement") with
the Issuer pursuant to which the KKTY Holding Company has agreed to (i) make a
cash tender offer (the "Offer") to buy up to 2,500,000 Shares at a price of
$8.00 per Share and (ii) buy from the Issuer 400,000 shares of newly issued
Convertible Preferred Stock (the "Preferred Shares") at $100 per share (the
"Preferred Stock Purchase"). The Recapitalization Agreement is attached hereto
as Exhibit 2.1 and is incorporated herein by reference.
For each Preferred Share converted, KKTY Holding Company will receive 12.5
shares of Common Stock, which ratio will be adjusted for any stock split, stock
combination, stock dividend or other recapitalization and will be subject to
protection provisions in the event of certain dilutive transactions. KKTY
Holding Company may convert, at its option, at any time after the earlier of:
(i) the fifth anniversary of the closing date of the transactions contemplated
by the Recapitalization Agreement; (ii) the approval by the Issuer's Board of
Directors of a merger, consolidation or other business combination between the
Issuer and another entity (except where the Issuer is the surviving entity and
no change of control of the Issuer occurs as a result of the transaction) or a
sale or other disposition of all or substantially all of the Issuer's assets;
(iii) the authorization by the Issuer's Board of Directors of, or other
corporate action taken to effect, the liquidation, dissolution or winding up of
the Issuer; and (iv) the solicitation of proxies from the holders of any class
or classes of capital stock of the Issuer for any annual or special meeting of
stockholders, however called, at which an election for directors of the Issuer
is held, or any solicitation of written consent of the holders of any class or
classes of capital stock of the Issuer with respect to the election of
directors, against the election as director of any KKTY Holding Company designee
or for removal of any incumbent KKTY Holding Company designee. Except as
required by law, KKTY Holding Company shall have no voting rights with respect
to the Preferred Shares. The Issuer shall not, without first obtaining the
approval of the holders of at least a majority of the then outstanding Preferred
Shares: (i) authorize or issue any class or series of equity security having
equal or superior rights as to payment upon liquidation, dissolution or a
winding up of the Issuer; (ii) amend its
Page 10 of 15 Pages
Certificate of Incorporation or Bylaws in any way, or enter into a merger,
consolidation, reorganization, recapitalization or sale of all or substantially
all of its assets, in any case which adversely affects the rights and
preferences of the holders of Preferred Shares as a class (except that the
Issuer may complete a reverse-split of its Common Stock without the consent of
the holders of the Preferred Shares) or (iii) engage in any transaction which
would impair or reduce the rights of the holders of the Preferred Shares as a
class. KKTY Holding Company would own approximately 55% of the Issuer's
outstanding shares of Common Stock calculated on a fully diluted basis assuming
that (i) KKTY Holding Company purchases 2,500,000 Shares in the Offer, and (ii)
KKTY Holding Company completes the Preferred Stock Purchase and the Preferred
Shares are converted into Shares of Common Stock.
In connection with the Offer and the Preferred Stock Purchase, KKTY Holding
Company entered into a Stock Voting and Tender Agreement with the certain
members of the Wallace E. Carroll, Jr. family, trusts for the benefit of family
members and entities associated with the Carroll family (collectively, the
"Agreement Stockholders"), dated as of March 29, 2001 (the "Voting Agreement"),
pursuant to which the Agreement Stockholders have agreed to collectively tender
at least 1,500,000 Shares to KKTY Holding Company in connection with the Offer
and vote 2,500,000 Shares in favor of or against certain proposals relating to
the Offer, the Preferred Stock Purchase and the Recapitalization Agreement that
the Agreement Stockholders may be requested to vote upon at an annual or special
meeting of the Issuer's stockholders or in connection with any consent
solicitation in accordance with the terms and conditions of the Voting
Agreement. After the Offer is consummated, the Reporting Persons will no longer
have any voting or other rights, shared or otherwise, with respect to the Shares
subject to the Voting Agreement, except for the 1,500,000 Shares that will be
purchased pursuant to the Offer. Until such purchase upon the consummation of
the Offer, the Reporting Persons will have no dispositive power with respect to
any of the Shares. The Voting Agreement is attached hereto as Exhibit 9.1 and is
incorporated herein by reference.
The Reporting Persons may be deemed to beneficially own 17,000 Shares
beneficially owned by William F. Andrews, a director of the Issuer and a
principal of Kohlberg & Co. The Reporting Persons expressly disclaim beneficial
ownership of any Shares beneficially owned by Mr. Andrews.
Item 5. Interest in Securities of the Issuer.
-------------------------------------
(a) See Rows 11 and 13 of the Cover Pages. Except as set forth in this Item
5(a), none of the Reporting Persons nor, to the best knowledge of any of the
Reporting Persons, any of the persons set forth on Appendix A, beneficially owns
any Shares.
(b) See Rows 7 through 10 of the Cover Pages. Each of the Reporting Persons
has, together with the other Reporting Persons and the Agreement Stockholders,
the shared power to vote or direct the vote and the shared power to dispose or
to direct the disposition of the Shares reported by it or him in Item 5(a).
(c) Except for the 2,500,000 Shares subject to the Voting Agreement described
in Item 4, during the past 60 days, none of the Reporting Persons nor, to the
best knowledge of any of the
Page 11 of 15 Pages
Reporting Persons, any of the persons set forth on Appendix A, has effected any
transactions in the Shares.
(d) To the best knowledge of any of the Reporting Persons, no person other
than the Agreement Stockholders has the right to receive, or the power to direct
the receipt of, dividends from, or the proceeds from the sale of, the Shares
reported in Item 5(a).
(e) Not applicable.
Item 6 Contracts, Arrangements, Understandings or Relationships with Respect to
------------------------------------------------------------------------
Securities of the Issuer.
------------------------
Except for the arrangements described in Item 4 above, to the best knowledge
of any of the Reporting Persons, there are no contracts, arrangements,
understandings or relationships (legal or otherwise) among the persons named in
Item 2, or between such persons and any other person, with respect to any
securities of the Issuer, including, but not limited to, transfer or voting of
any of the securities, finder's fees, joint ventures, loan or option
arrangements, puts or calls, guarantees of profits, division of profits or loss,
or the giving or withholding of proxies.
Item 7 Material to be Filed as Exhibits.
---------------------------------
The following documents are being filed as exhibits to this statement and
are incorporated herein by reference:
Exhibit 2.1 Preferred Stock Purchase and Recapitalization Agreement, dated
March 29, 2001, by and between KKTY Holding Company, L.L.C.
and Katy Industries, Inc. (previously filed as Annex B to the
Issuer's Preliminary Proxy Statement on Schedule 14A filed on
April 6, 2001 and incorporated herein by reference).
Exhibit 9.1 Stock Voting and Tender Agreement, dated March 29, 2001, by
and among KKTY Holding Company, L.L.C. and certain members of
the Wallace E. Carroll, Jr. family, trusts for the benefit of
family members and entities associated with the Carroll family
(previously filed as Exhibit 99.1 to Amendment No. 23 to the
Statement on Schedule 13D filed by certain members of the
Wallace E. Carroll, Jr. family, trusts for the benefit of
family members and entities associated with the Carroll family
on April 4, 2001 and incorporated herein by reference).
Exhibit 99.1 Joint Filing Agreement, dated April 9, 2001, by and among KKTY
Holding Company, L.L.C., Kohlberg Investors IV, L.P., Kohlberg
TE Investors IV, L.P., Kohlberg Offshore Investors IV, L.P.,
Kohlberg Partners IV, L.P., Kohlberg Management IV, L.L.C. and
James A. Kohlberg.
Page 12 of 15 Pages
SIGNATURE
---------
After reasonable inquiry and to the best of their knowledge and belief, the
undersigned certify that the information set forth in this statement is true,
complete and correct.
Date: April 9, 2001 KKTY HOLDING COMPANY, L.L.C.
By: /s/ Christopher Lacovara
------------------------------
Christopher Lacovara
Authorized Manager
Date: April 9, 2001 KOHLBERG INVESTORS IV, L.P.
By: Kohlberg Management IV, L.L.C.,
its General Partner
By: /s/ James A. Kohlberg
------------------------------
James A. Kohlberg
Managing Member
Date: April 9, 2001 KOHLBERG TE INVESTORS IV, L.P.
By: Kohlberg Management IV, L.L.C.,
its General Partner
By: /s/ James A. Kohlberg
------------------------------
James A. Kohlberg
Managing Member
Page 13 of 15 Pages
Date: April 9, 2001 KOHLBERG OFFSHORE
INVESTORS IV, L.P.
By: Kohlberg Management IV, L.L.C.,
its General Partner
By: /s/ James A. Kohlberg
------------------------------
James A. Kohlberg
Managing Member
Date: April 9, 2001 KOHLBERG PARTNERS IV, L.P.
By: Kohlberg Management IV, L.L.C.,
its General Partner
By: /s/ James A. Kohlberg
------------------------------
James A. Kohlberg
Managing Member
Date: April 9, 2001 KOHLBERG MANAGEMENT IV, L.L.C.
By: /s/ James A. Kohlberg
------------------------------
James A. Kohlberg
Managing Member
Date: April 9, 2001 /s/ James A. Kohlberg
-----------------------------------
James A. Kohlberg
Page 14 of 15 Pages
Appendix A
----------
INFORMATION CONCERNING THE CONTROLLING
PERSONS OF EACH OF THE REPORTING PERSONS
----------------------------------------
The following table sets forth the name, present principal occupation or
employment and material positions held within the past five years of each
controlling person of each of the Reporting Persons. Each person has a business
address at 111 Radio Circle, Mount Kisco, New York 10549, and is a citizen of
the United States unless a different business address or citizenship is
indicated under his name.
Principal Occupation or Employment with and Material
Name and Age Positions Held with Reporting Persons During the Past Five Years
------------ ----------------------------------------------------------------
James A. Kohlberg (43)............ Authorized Manager of KKTY Holding Company and Managing Member and member of
the Operating Committee of Kohlberg Management IV (the general partner of each
of the limited partnerships that comprise Kohlberg Fund IV, the controlling
member of KKTY Holding Company). Mr. Kohlberg has been a principal of
Kohlberg & Co. for more than the past five years.
Christopher Lacovara (36)......... Authorized Manager of KKTY Holding Company and member of the Operating
Committee of Kohlberg Management IV. Mr. Lacovara has been a principal of
Kohlberg & Co. for more than the past five years.
Samuel P. Frieder (36)............ Authorized Manager of KKTY Holding Company and member of the Operating
Committee of Kohlberg Management IV. Mr. Frieder has been a principal of
Kohlberg & Co. for more than the past five years.
Christopher W. Anderson (26)...... Authorized Manager of KKTY Holding Company. Mr. Anderson has been an
associate with Kohlberg & Co. since 1998. From 1997 to 1998, Mr. Anderson was
a financial analyst at Warburg Dillon Read L.L.C.
Shant Mardirossian (33)........... Authorized Manager of KKTY Holding Company. Mr. Mardirossian has been the
Controller and/or Chief Financial Officer of Kohlberg & Co. for more than the
past five years.
Page 15 of 15 Pages
EXHIBIT INDEX
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Exhibit Number Exhibit
-------------- -------
Exhibit 2.1 Preferred Stock Purchase and Recapitalization Agreement,
dated March 29, 2001, by and between KKTY Holding
Company, L.L.C. and Katy Industries, Inc. (previously
filed as Annex B to the Issuer's Preliminary Proxy
Statement on Schedule 14A filed on April 6, 2001 and
incorporated herein by reference).
Exhibit 9.1 Stock Voting and Tender Agreement, dated March 29, 2001,
by and among KKTY Holding Company, L.L.C. and certain
members of the Wallace E. Carroll, Jr. family, trusts for
the benefit of family members and entities associated
with the Carroll family (previously filed as Exhibit 99.1
to Amendment No. 23 to the Statement on Schedule 13D
filed by certain members of the Wallace E. Carroll, Jr.
family, trusts for the benefit of family members and
entities associated with the Carroll family on April 4,
2001 and incorporated herein by reference).
Exhibit 99.1 Joint Filing Agreement, dated April 9, 2001, by and among
KKTY Holding Company, L.L.C., Kohlberg Investors IV,
L.P., Kohlberg TE Investors IV, L.P., Kohlberg Offshore
Investors IV, L.P., Kohlberg Partners IV, L.P., Kohlberg
Management IV, L.L.C. and James A. Kohlberg.