Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 41

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 1
Chunk 41
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2, 2025 for a period of three years. As of the date of this Report, the Company
has failed to make all of the payments.

On April 28, 2025, the Company
entered into a Settlement Agreement and Stipulation (the “Agreement”) with Southern Point Capital Corporation (“SPC”),
pursuant to which the Company agreed to issue Common Stock to SPC in exchange for the settlement of an aggregate of $4,242,964 (the “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.

In connection with the Agreement,
on May 2, 2025, the Company issued 20,000 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