Company: ALCE
Filing Date: 2025-06-30
Form Type: 10-Q
Source: 0001213900-25-059349
Chunk: 52

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-30
Form: 10-Q
Item: Part I, Item 1
Chunk 52
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 Limited (“MH02”), including all of MH02’s subsidiaries:
AED Italia-01 S.r.l; AED Italia-02 S.r.l; AED Italia-03 S.r.l; AED Italia-04 S.r.l; AED Italia-05 S.r.l; AED Italia-06 S.r.l; AED Italia-07
S.r.l; AED Italia-08 S.r.l; PC-Italia-01 S.r.l; PC-Italia-03 S.r.l; PC-Italia-04 S.r.l; Risorse Solari I S.r.l; and Risorse Solari III
S.r.l (the “Transaction”), for a total consideration of (i) the assumption of approximately $19,000,000 in total debt ($17,000,000
owed to the Majority Buyer and the remaining $2,000,000 owed to the Minority Buyer), (ii) the forbearance by the Majority Buyer on the
right to claim up to $17,000,000 against the Company’s parent guarantee until MH02’s solar projects reach ready to build status,
and (iii) the right of the Company to purchase MH02’s solar photovoltaic projects at fair market value, subject to a minimum price
of €150,000 ($169,605) per megawatt, as each project reaches ready to build status. The Majority Buyer acquired 75.5% of MH02 and
the Minority Buyer acquired the remaining 24.5% of MH02’s share capital.

As part of the Transaction
and debt forbearance, the Company issued 10,660,000 shares of restricted common stock to the Minority Buyer. (See unregistered sale of
securities above).

As a result of the Transaction,
the Company has removed approximately $22.6 million in debt and costs related to MH 02’s activities, which will improve shareholders’
equity by approximately $14.4 million.

On May 20, 2025 the Company
issued 8 million shares of restricted common stock to a related party, Alternus Energy Group PLC, for services rendered, valued at $224,000.

On May 29, 2025, the Company
entered into a Note Purchase Agreement (the “Purchase Agreement”), dated as of May 29, 2025, with an institutional investor
pursuant to which the Company issued a 20% Original Issue Discount promissory convertible note (the “2025 Note