Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 461

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 1A
Chunk 461
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 September 30, 2023 and the bond trustee was granted certain additional information rights and the
right to appoint half of the members of the board of directors of Solis, in addition to the members of the board appointed by Alternus.
Under the waiver agreement, as extended, Solis must fully repay the Solid Bond by September 30, 2023. If Solis is unable to fully repay
the Solis Bond by September 30, 2023, Solis’ bondholders have the right to immediately transfer ownership of Solis and all of its
subsidiaries to the bondholders and proceed to sell Solis’ assets to recoup the full amount owed to the bondholders, which as of
September 30, 2023 is currently €150,000,000 (approximately $159,000,000). If the ownership of Solis and all of its subsidiaries
were to be transferred to the Solis bondholders, the majority of Alternus’ operating assets and related revenues and EBIDTA would
be eliminated.

On October 16, 2023, bondholders
approved to further extend the temporary waiver to December 16, 2023. As such, the Solis bond debt was recorded as short-term debt and
included in current discontinued liabilities for the year ended December 31, 2023. In consideration for the extension the Company agreed
to repay the bonds at 107.5 of par value. This incremental par value amount of $11.1 million is recognized as the “Solis bond waiver
fee” under Discontinued Operations on the Company’s Statement of Operations and Comprehensive Income/(Loss) and is an increase
to the Current Discontinued Liabilities Held for Sale on the Company’s Consolidated Balance Sheet. This was a non-cash transaction
that resulted in an increase to the Company’s debt balance, and is treated as reconciling item to Net Loss on the Company’s
Consolidated Statement of Cash Flows.

On December 18, 2023, a representative
group of the bondholders approved an extension of the temporary waivers and the maturity date of the Solis Bonds until January 31, 2024,
with the right to further extend to February 29, 2024 at the Solis Bond trustee’s discretion, which was subsequently approved by
a majority of the bondholders on January 3, 2024.

On December 28, 2023, Solis
sold 100% of the share capital in