Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 499

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 1A
Chunk 499
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“Settlement Amount”) to resolve outstanding overdue liabilities with different vendors. On May 1, 2025, the Circuit Court
of the Twelfth Judicial Circuit in and for Manatee County, Florida (the “Court”), entered an order (the “Order”)
approving, among other things, the fairness of the terms and conditions of an exchange pursuant to Section 3(a)(10) of the Securities
Act in accordance with a stipulation of settlement, pursuant to the Agreement between the Company and SPC. SPC commenced action against
the Company to recover the Settlement Amount of past-due obligations and accounts payable of the Company (the “Claim”), which
SPC had purchased from certain vendors of the Company pursuant to the terms of separate receivable purchase agreements between SPC and
each of such vendors. The Order provides for the full and final settlement of the Claim and the related action. The Agreement became
effective and binding upon execution of the Order by the Court on April 30, 2025. Pursuant to the terms of the Agreement approved by
the Order, the Company agreed to issue to SPC shares (the “Settlement Shares”) of the Company’s Common Stock. The Settlement
Agreement provides that the Settlement Shares will be issued in one or more tranches, as necessary, sufficient to satisfy the Settlement
Amount through the issuance of securities issued pursuant to Section 3(a)(10) of the Securities Act. Pursuant to the Agreement, SPC may
deliver requests to the Company for additional shares of Common Stock to be issued to SPC until the Settlement Amount is paid in full,
provided that any excess shares issued to SPC will be cancelled.

F-58

In connection with the Agreement,
on May 2, 2025, the Company issued 4,000,000 shares of Common Stock to SPC as a settlement fee. The issuance of Common Stock to SPC pursuant
to the terms of the Agreement approved by the Order is exempt from the registration requirements of the Securities Act pursuant to Section
3(a)(10) thereof, as an issuance of securities in exchange for bona fide outstanding claims, where the terms and conditions of such issuance
are approved by a court after a hearing upon the fairness of such terms and conditions at which all persons to whom it is proposed to
issue securities in such exchange shall have the right to appear. The Agreement provides that in no event will the number of shares of
Common Stock issued to SPC or its designee in