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Proc-Type: 2001,MIC-CLEAR
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UNITED STATES 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
§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g) check the following box o . SCHEDULE 13D SCHEDULE 13D SCHEDULE 13D SCHEDULE 13D
8,285,498 8,285,498 SCHEDULE 13D
SOURCE
OF FUNDS þ
United
States -0-
8,285,498 Explanatory Note Introduction This Final Amendment to Schedule 13D ("Final Amendment to Schedule 13D") amends Amendment No. 2 to Schedule 13D filed on February 7, 2008 ("Amendment No. 2 to Schedule 13D") by the Reporting Persons relating to their beneficial ownership of the Common Stock (as defined in Item 1, below) of Composite Technology Corporation, a Nevada corporation (the "Issuer"). This Final Amendment to Schedule 13D (i) amends and restates Item 2, Item 3 and Item 5 and (ii) reflects a material change in the number of shares beneficially owned by certain Reporting Persons and the percentage of class represented by such ownership since the filing of Amendment No. 2 to Schedule 13D. Except for the above-referenced amendments, this Final Amendment to Schedule 13D does not modify any of the information previously reported on Amendment No. 2 to Schedule 13D. Item 1. Security and Issuer. The name of the Issuer is Composite Technology Corporation. The address of the Issuers offices is 2026 McGaw Avenue, Irvine, California 92614. This Final Amendment to Schedule 13D relates to the Issuers Common Stock, par value $0.001 per share (the "Common Stock"). Item 2. Identity and Background. (a)-(c), (f). This statement is being filed by Grandview LLC, a Delaware limited liability company ("Grandview"), Millennium Partners, L.P., a Cayman Islands exempted limited partnership ("Millennium Partners") and Millenco LLC, a Delaware limited liability company ("Millenco"). Millenco is a broker-dealer and a member of the American Stock Exchange and the NASDAQ. Millennium Management LLC, a Delaware limited liability company ("Millennium Management"), is the managing partner of Millennium Partners and the manager of Grandview and Millenco, and consequently may be deemed to have voting control and investment discretion over securities owned by Grandview, Millennium Partners and Millenco, as the case may be. Israel A. Englander ("Mr. Englander") is the managing member of Millennium Management. As a result, Mr. Englander may be deemed to be the beneficial owner of any shares deemed to be beneficially owned by Millennium Management. The foregoing should not be construed in and of itself as an admission by Millennium Management or Mr. Englander as to beneficial ownership of the shares owned by Grandview, Millennium Partners or Millenco, as the case may be. Grandview, Millennium Partners, Millenco, Millennium Management and Mr. Englander will be collectively referred to as the reporting persons ("Reporting
Persons") in this Final Amendment to Schedule 13D. The business address for Grandview, Millennium Partners, Millenco, Millennium Management and Mr. Englander is c/o Millennium Management LLC, 666 Fifth Avenue, New York, New York 10103. Mr. Englander is a United States citizen. Note: Integrated Holding Group LP, a Delaware limited partnership ("Integrated Holding Group"), is a non-managing member of Millenco. As a non-managing member, Integrated Holding Group has no voting control or investment discretion over Millenco or its securities positions. (d) During the last five years, none of the Reporting Persons has been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors). (e) On December 1, 2005, Millennium Management and Mr. Englander, together with Millennium Partners and certain related persons and entities, entered into settlements with the Securities and Exchange Commission ("SEC") and the Attorney General of the State of New York (the "NYAG") relating to allegations that Millennium Partners had engaged in a pattern of deceptive "market timing" of mutual fund shares in years prior to 2004 and, in the case of the settlement with the NYAG only, had failed to take adequate steps to prevent a trader from engaging in mutual fund "late trading" in violation of firm policy. The parties neither admitted nor denied the allegations or findings (except as to jurisdiction) but consented to the entry of findings. The SEC proceedings are In the Matter of Millennium Partners, L.P., et al. Securities Act Release No. 8639 (December 1, 2005), available at www.sec.gov. Contemporaneously, the NYAG
issued an Assurance of Discontinuance relating to the claims and findings of that office. Neither the Reporting Persons nor any other party admitted or denied any of the allegations or findings in these matters. The remedies included disgorgement by the entities of approximately $148 million of mutual fund trading profits, civil penalties aggregating approximately $32.15 million (with approximately $30 million being paid by Mr. Englander), an administrative order to cease and desist from violations of the antifraud provisions of the Securities Act and the Securities Exchange Act, and prophylactic relief. Item 3. Source and Amount of Funds or Other Consideration. Pursuant to the securities purchase agreement dated February 12, 2007 ("February 2007 Securities Purchase Agreement") between the Issuer and the purchasers named therein (including Grandview), Grandview paid $5,000,000 for an 8% senior convertible debenture in the original principal amount of $5,000,000, due January 31, 2010 ("Senior Convertible Debenture"). In connection with the February 2007 Securities Purchase Agreement, Grandview was also issued a warrant to purchase 2,403,847 shares of Common Stock ("February 2007 Warrant"). On December 10, 2007, Grandview exercised the February 2007 Warrant to purchase 2,403,847 shares of Common Stock at $1.11 per share for total consideration of $2,668,270.17. Pursuant to the securities purchase agreement dated June 11, 2007 ("June 2007 Securities Purchase Agreement") between the Issuer and the purchasers named therein (including Millennium Partners), Millennium Partners acquired 3,030,
304 units ("Units"), at $0.99 per Unit, for total consideration of $3,000,000. Each Unit consists of one share of Common Stock and one-quarter of a warrant to purchase Common Stock ("June 2007 Warrant"). On December 10, 2007, Millennium Partners exercised the June 2007 Warrant to purchase 757,576 shares of the Issuers Common Stock at $1.39 per share for consideration of $1,053,030.64. Thus, the amount of funds used to purchase the remaining 30,304 shares held by Millennium Partners as of the date hereof was $30,000.96. The amount of funds used to purchase the 239,402 shares of the Issuers Common Stock held by Millenco was approximately $379,868.00, calculated on an average cost basis, (excluding brokerage commissions), by account. Grandview, Millennium Partners, and Millenco effect purchases of securities primarily through margin accounts maintained for Grandview, Millennium Partners, and Millenco with prime brokers, which may extend margin credit to Grandview, Millennium
Partners, and Millenco as and when required to open or carry positions in the margin accounts, subject to applicable margin regulations, stock exchange rules and the prime brokers credit policies. In such instances, the positions held in the margin accounts are pledged as collateral security for the repayment of debit balances in the accounts. Item 4. Purpose of Transaction. The Reporting Persons are engaged in the investment business. In pursuing this business, the Reporting Persons analyze the operations, capital structure and markets of companies, including the Issuer, on a continuous basis, through analysis of documentation and discussions with knowledgeable industry and market observers and with representatives of such companies (often at the invitation of management). From time to time, one or more of the Reporting Persons may hold discussions with third parties or with management of such companies in which the Reporting Persons may suggest or take a position with respect to potential changes in the operations, management or capital structure of such companies as a means of enhancing shareholder value. Such suggestions or positions may relate to one or more of the transactions specified in clauses (a) through (j) of Item 4 of Schedule 13D of the Exchange Act, including, without limitation, such matters as disposing of or selling all o
r a portion of the company or acquiring another company or business, changing operating or marketing strategies, adopting or not adopting certain types of anti-takeover measures and restructuring the Issuers capitalization or dividend policy. The Reporting Persons employ the services of a number of portfolio managers, each of whom independently employs a separate and distinct trading strategy. A portion of the securities of the Issuer held by the Reporting Persons are held in accounts of the Reporting Persons managed by portfolio managers who engage in event-, risk- or merger-arbitrage or fundamental strategies. Except as set forth above, the Reporting Persons do not have any present plans or proposals that relate to or would result in any of the actions required to be described in Item 4 of Schedule 13D. Each of the Reporting Persons may, at any time, review or reconsider its position with respect to the Issuer and formulate plans or proposals with respect to any of such matters, but has no present intention of doing so. Item 5. Interest in Securities of the Issuer. On February 8, 2008, the Reporting Persons ceased to beneficially own in excess of 5% of the Issuers Common Stock. However, the Reporting Persons deem February 20, 2008 to be the relevant date of event for this Final Amendment to Schedule 13D, as it is the date on which occurred a material change in the number of shares beneficially owned by each Reporting Person and the percentage of class represented by such ownership since the filing of Amendment No. 2 to Schedule 13D for each Reporting Person. (a) As of the date hereof:
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Final Amendment)
Millennium Management LLC
666 Fifth Avenue, 8th Floor
New York, New York 10103
(212) 841-4100
CUSIP No. 20461S108
1
Grandview LLC
2
3
4
WC, OO
5
þ
6
Delaware
-0-
7,258,216
-0-
7,258,216
11
7,258,216
12
o
13
3.1%
14
OO
CUSIP No. 20461S108
1
Millennium Partners, L.P.
2
3
4
WC, OO
5
þ
6
Cayman Islands
-0-
787,880
-0-
787,880
11
787,880
12
o
13
0.3%
14
PN
CUSIP No. 20461S108
1
Millenco LLC
2
3
4
WC, OO
5
þ
6
Delaware
-0-
239,402
-0-
239,402
11
239,402
12
o
13
0.1%
14
OO, BD
CUSIP No.
20461S108
1
Millennium
Management LLC
2
3
4
WC, OO
5
þ
6
Delaware
-0-
8,285,498
-0-
11
12
13
3.6%
14
OO
CUSIP No.
20461S108
1
Israel A.
Englander
2
3
4
5
6
7
8
9
10
11
12
13
14
(i) Grandview is the beneficial owner of an aggregate of 7,258,216 shares of Common Stock (2,403,847 shares of Common Stock and 4,854,369 shares of Common Stock currently issuable to Grandview upon conversion of the Senior Convertible Note);
(ii) Millennium Partners is the beneficial owner of 787,880 shares of Common Stock; and
(iii) Millenco, is the beneficial owner of 239,402 shares of Common Stock.
The 8,285,498 shares held by the Reporting Persons represent, in aggregate, approximately 3.6% of the outstanding shares of Common Stock. The calculation of the foregoing percentage is on the basis of 226,156,958 shares of Common Stock outstanding as of February 11, 2008, as disclosed by the Issuer on its Form 10-Q, dated February 11, 2008.
Millennium Management, as the managing partner of Millennium Partners and the manager of both Grandview and Millenco, may be deemed to have voting control and investment discretion over securities owned by Grandview, Millennium Partners and Millenco, as the case may be.
Mr. Englander, as the managing member of Millennium Management, may also be deemed to beneficially own the shares of Common Stock beneficially owned by Grandview, Millennium Partners or Millenco, as the case may be.
The foregoing should not be construed in and of itself as an admission by Millennium Management or Mr. Englander as to beneficial ownership of the shares owned by Grandview, Millennium Partners or Millenco.
(b) Grandview may be deemed to hold shared power to vote and to dispose of the 7,258,216 shares of Common Stock described in (a) above. Millennium Partners may be deemed to hold shared power to vote and to dispose of the 787,880 shares of Common Stock described in (a) above. Millenco may be deemed to hold shared power to vote and to dispose of the 239,402 shares of Common Stock described in (a) above. Mr. Englander and Millennium Management may be deemed to hold shared power to vote and to dispose of the 8,285,498 shares of Common Stock described in (a) above.
(c) Transactions in the Issuers Common Stock from and including February 7, 2008, the date that Amendment No. 2 to Schedule 13D was filed with the SEC: Schedule A annexed hereto lists all transactions in the Issuers Common Stock by the Reporting Persons from and including February 7, 2008, the date that Amendment No. 2 to Schedule 13D was filed with the SEC. All of the transactions in the Issuers Common Stock from and including February 7, 2008 were effected by either Millennium Partners or Millenco in the open market.
(d) No person other than the Reporting Persons is known to have the right to receive, or the power to direct the receipt of, dividends from, or proceeds from the sale of, the shares of Common Stock reported in this Statement.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer.
In connection with arrangements with Grandviews, Millennium Partners, and Millencos prime brokers, such prime brokers are permitted to lend securities in Grandviews, Millennium Partners, and Millencos accounts (as the case may be) to the extent permitted by debit balances in such account. Grandview, Millennium Partners, and Millenco generally will not have any knowledge of the specific loans made by such prime brokers. In addition, in the ordinary course of business, Grandview, Millennium Partners, and Millenco (or their prime brokers), may borrow securities to satisfy delivery obligations arising from the applicable entitys short sales. Millenco may lend securities to third parties and such loans generally may be recalled upon demand. However, it should be noted that shares lent by Grandview, Millennium Partners, Millenco or their prime brokers (as the case may be) may not be able to be recalled in advance of an applicable rec ord date and thus, such loaned shares may not be able to be voted by Grandview, Millennium Partners or Millenco (as the case may be).
There are no other contracts, arrangements, understandings or relationships among the Reporting Persons, or between the Reporting Persons and any other person, with respect to the securities of the Issuer.
Item 7. Material to Be Filed as Exhibits.
Exhibit I: Joint Filing Agreement, dated as of February 21, 2008, by and among Grandview, LLC, Millennium Partners, L.P., Millenco LLC, Millennium Management LLC and Israel A. Englander.
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: February 21, 2008
GRANDVIEW LLC
By: Millennium Management LLC,
its manager By: /s/ David NolanName: David Nolan
Title: Co-President
MILLENNIUM PARTNERS, L.P.
By: Millennium Management LLC,
its managing partner By: /s/ David NolanName: David Nolan
Title: Co-President
MILLENCO LLC
By: /s/ Mark MeskinName: Mark Meskin
Title: Chief Executive Officer
MILLENNIUM MANAGEMENT LLC
By: /s/ David NolanName: David Nolan
Title: Co-President
/s/ Israel A. Englander by David Nolan
pursuant to Power of Attorney filed with
the SEC on June 6, 2005Israel A. Englander
EXHIBIT I
JOINT FILING AGREEMENT
This will confirm the agreement by and among the undersigned that the Schedule 13D filed with the Securities and Exchange Commission on or about the date hereof with respect to the beneficial ownership by the undersigned of the Common Stock, par value $0.001 per share, of Composite Technology Corporation, a Nevada corporation, is being filed, and all amendments thereto will be filed, on behalf of each of the persons and entities named below in accordance with Rule 13d-1(k) under the Securities Exchange Act of 1934, as amended. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
Dated: February 21, 2008
GRANDVIEW LLC
By: Millennium Management LLC,
its manager By: /s/ David NolanName: David Nolan
Title: Co-President
MILLENNIUM PARTNERS, L.P.
By: Millennium Management LLC,
its managing partner By: /s/ David NolanName: David Nolan
Title: Co-President
MILLENCO LLC
By: /s/ Mark MeskinName: Mark Meskin
Title: Chief Executive Officer
MILLENNIUM MANAGEMENT LLC
By: /s/ David NolanName: David Nolan
Title: Co-President
/s/ Israel A. Englander by David Nolan
pursuant to Power of Attorney filed with
the SEC on June 6, 2005Israel A. Englander
Schedule A
Transactions in the Issuers Common Stock from and including February 7, 2008, the date that Amendment No. 2 to Schedule 13D was filed with the SEC:
Date of Transaction | Quantity Purchased (Sold) |
Price Per Share $ |
---|---|---|
2/7/2008 | (356,500.00) | 1.3 |
2/7/2008 | (5,000.00) | 1.29 |
2/7/2008 | (5,000.00) | 1.29 |
2/7/2008 | (2,000.00) | 1.29 |
2/7/2008 | (1,000.00) | 1.29 |
2/7/2008 | (1,000.00) | 1.29 |
2/7/2008 | (1,000.00) | 1.29 |
2/7/2008 | (400.00) | 1.28 |
2/7/2008 | (100.00) | 1.28 |
2/8/2008 (1) | (375,000.00) | 1.31 |
2/8/2008 | (100,000.00) | 1.305 |
2/8/2008 | (2,500.00) | 1.3 |
2/8/2008 | (2,500.00) | 1.3 |
2/8/2008 | (2,500.00) | 1.3 |
2/8/2008 | (1,500.00) | 1.3 |
2/8/2008 | (1,081.00) | 1.3 |
2/8/2008 | (919.00) | 1.31 |
2/8/2008 | (900.00) | 1.3 |
2/8/2008 | (500.00) | 1.3 |
2/8/2008 | (400.00) | 1.3 |
2/8/2008 | (400.00) | 1.3 |
2/8/2008 | (400.00) | 1.3 |
2/8/2008 | (400.00) | 1.3 |
2/8/2008 | (400.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/8/2008 | (100.00) | 1.3 |
2/11/2008 | (100,000.00) | 1.255 |
2/11/2008 | (99,600.00) | 1.2568 |
2/13/2008 | (150,000.00) | 1.1714 |
2/14/2008 | (250,000.00) | 1.1427 |
2/14/2008 | (2,620.00) | 1.17 |
2/14/2008 | (2,380.00) | 1.17 |
2/15/2008 (1) | (450,000.00) | 1.10833 |
2/19/2008 (1) | (550,000.00) | 1.1 |
2/20/2008 (1) | (500,000.00) | 0.99713 |
2/21/2008 (1) | (725,000.00) | 1.01147 |
Notes:
1. Sale of the Issuers Common Stock effected by Millennium Partners in the open market.
Except as otherwise noted above, all of the remaining transactions in the Issuers Common Stock were effected by Millenco in the open market.