Company: ALCE
Filing Date: 2025-01-27
Form Type: S-1
Source: 0001213900-25-007054
Chunk: 15

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-01-27
Form: S-1
Chunk 15
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 We are a renewable energy company committed to advancing sustainable solutions. With a focus on utility-scale projects, such as solar parks, and complementary technologies like microgrids and battery storage, we aim to deliver comprehensive, clean energy across Europe and America. Through strategic investments, we are building a portfolio poised to lead the transition to a sustainable energy future. As of January 24, 2025, we have approximately 11 utility scale solar parks totaling 217MW at medium to late-stage development stage in Italy. These are targeted to reach construction status during 2025. As part of our strategy to become a more comprehensive energy provider and expand operations into additional high-value complementary segments of the renewable energy industry we recently announced binding terms with Hover Energy LLC to form a joint venture to provide state-of-the-art clean energy microgrids to corporates, data centers and other facility owners. When completed, this new segment for Alternus should provide faster time to revenues and lower equity needs in a rapidly growing market with ever increasing energy demands due to growth in AI and onshoring of heavy industry to the United States. Business Model As a vertically integrated renewable energy business, Alternus operates across all key segments of the renewable energy project development life cycle from ‘greenfield’ planning and permitting phases, through to construction and long-term revenue and margin generation from sales of energy to customers. This integration of activities under one common ownership and management creates a ‘production line’ of new projects supporting organic growth, and visibility of pipeline, in the business going forward. This business model is designed to lock in lasting shareholder value by significantly reducing capex for newly developed projects, and lowering acquisition costs for acquired projects at pre-operation from other market participants. The earlier in the cycle that we acquire new projects means we retain more of the project market value created as it passes each milestone. If we acquire projects further along the value chain then we pay more capital (and value) out to third parties for those projects. The value creation at each stage results from the de-risking of the projects as they get closer to operation and as a result, attract higher valuations at the later stages as the project risk declines. 1 Alternus Clean Energy Project Stage Classification This method of operation is designed to bring the value created during the development cycle directly to us, thereby reducing equity requirements to build out a larger portfolio, as the margins captured can be reinvested in future growth. In addition, it provides greater certainty of future revenue streams as the projects owned today reach planned operation dates in the future.