Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 171

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 171
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.8 million loss on movement in fair value in the three months ended March 31, 2025.

During the three months ended
June 30, 2025, given that the notes have materially the same terms and duration, the Company combined their presentation in the financial
statements. During the three months ended June 30, 2025, $58,316 of the notes (including principal plus accrued interest and late fees
and penalties) had been converted into 29,500 shares of common stock, leaving a principal outstanding amount of $0.7 million as of June
30, 2025. The Company also recorded a $0.8 million loss on fair value movement for the three and six months ended June 30, 2025.

17

On December 4, 2024, the Company
entered into a Note Purchase Agreement (the “Purchase Agreement”) with Secure Net Capital LLC (“Secure Net”),
pursuant to which the Company issued a 20% Original Issue Discount promissory convertible note (the “2024 Note”) with a maturity
date in April 2025, in the principal sum of $1,250,000. Pursuant to the terms of the 2024 Note, the Company agreed to pay to Secure Net
the entire principal amount on the Maturity Date, failing which and certain events of default (as described in the 2024 Note), the 20%
Original Issue Discount shall increase to 30% Original Issue Discount. The Purchase Agreement resulted in net proceeds of $1,000,000 to
the Company, before deducting issuance costs of $145,000. The 2024 Note, issued pursuant to the Purchase Agreement, is convertible at
the option of the Holder at any time after the Maturity Date, including with registration rights, at a conversion price per share equal
to ninety percent (90%) of the Company’s common stock’s VWAP (which is the three (3) Trading Days immediately prior to such
Conversion Date (or the nearest preceding date)) as of the date of such conversion (the “Conversion Date”). The Secure Net
Note Agreement was amended on March 31, 2025, April 22, 2025, May 29, 2025 and June 30, 2025. The terms of each of those agreements 1)
increased the OID (increased to 45% as of June 30, 2025), and 2) extended the maturity