Company: ALCE
Filing Date: 2025-06-30
Form Type: 10-Q
Source: 0001213900-25-059349
Chunk: 36

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-30
Form: 10-Q
Item: Part I, Item 1
Chunk 36
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 position, and cash flows for these subsidiaries are reported as discontinued operations, in
accordance with ASC 205-20, for all periods presented.

The notes to the financial statements have been
adjusted to reflect this retroactive presentation.

    Three Months Ended  March 31, 
  
    Solis and Subsidiaries in Romania 
    2024 

    (in thousands) 

    Revenues 
    $2,087 

    Operating Expenses 

    Cost of revenues 
     (819)
  
    Selling, general, and administrative 
     (640)
  
    Depreciation, amortization, and accretion 
     (498)
  
    Total operating expenses 
     (1,957)

    Income from discontinued operations 
     130 

    Other income/(expense): 

    Interest expense 
     (2,478)
  
    Other expense 
     (221)
  
    Total other expenses 
    $(2,699)
  
    Income/(Loss) before provision for income taxes 
    $(2,569)
  
    Net income/(loss) from discontinued operations 
    $(2,569)

15.
Sale of Spanish Subsidiaries

On March 25, 2025, one of
the Company’s subsidiaries, AEG MH02, entered into a Share Purchase Agreement with Alternus Energy Group Plc, a related party, for
the sale of the entire issued share capital of Alt Spain Holdco S.l.u., including all of its subsidiaries: ALT Spain 03, S.L.U., ALT Spain
04, S.L.U. and New Frog Projects SL, for a total consideration of €10. In accordance with ASC 360, the Company removed the net assets
of the disposal group and recognized a gain of $3.5 million upon closing the sale in March 2025, of which $0.6 million were costs associated
with the sale. The sale of the Company’s Spanish subsidiaries does not represent a discontinued operation because management continues
to pursue clean energy investment and development opportunities in Spain and Europe and does not view the sale as a strategic shift for
the Company.

22

The major classes of assets
and liabilities transferred on March 25, 2025 in the sale of the Company’s subsidiaries are shown below:

    As of March 25, 
  
    Spain 
    2025 

    (in thousands) 

    Assets: 

    Other current assets