Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 1217

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 2
Chunk 1217
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 Date, December
22, 2023, when Sponsor became an 11% shareholder of the Company. The Sponsor entered into the Business Combination Agreement with the
Company and AEG, and also entered into the Investor Rights Agreement and the Sponsor Support Agreement, The Sponsor agreed, pursuant
to the Sponsor Support Agreement, to vote all of their shares of capital stock (and any securities convertible or exercisable into capital
stock) in favor of the approval of the Business Combination and against any other transactions, as well as to waive its redemption rights,
agree to not transfer securities of the Company, and waive any anti-dilution or similar protections with respect to founder shares.

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In order to fund working
capital deficiencies or finance transaction costs in connection with a business combination, the Sponsor initially loaned $350,000 to
the Company, in accordance with an unsecured promissory note (the “WC Note”) issued on September 26, 2022, under which up
to $850,000 may be advanced. On August 8, 2023, the Company issued an additional $650,000 promissory note to the Sponsor to fund the
Second WC Note. The Second WC Note is non-interest bearing and payable on the date which the Company consummates its initial Business
Combination. Both of these notes were settled on the Business Combination closing date in exchange for 9,000 shares of the Company’s
common stock.

On December 18, 2023, the
Sponsor entered into a non-redemption agreement (the “NRA”) with the Company and the investor named therein (the “Investor”).
Pursuant to the terms of the NRA, among other things, the Investor agreed to withdraw redemptions in connection with the Business Combination
on any Common Stock, held by the Investor and to purchase additional Common Stock from redeeming stockholders of the Company such that
the Investor will be the holder of no fewer than 11,111 shares of Common Stock.

On March 19, 2024 we entered
into a settlement agreement with the Sponsor and SPAC Sponsor Capital Access (“SCAF”) pursuant to which, among other things,
we agreed to repay Sponsor’s debt to SCAF, related to the CLIN SPAC entity extensions, in the amount of $1.4 million and issue
9,000 shares of restricted common stock valued at $11.75 per share to SCAF.

D&O:

In connection with the Business
Combination Closing