Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 19

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 1
Chunk 19
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 these facilities will vary depending
on the season.

The seasonality of our
energy production may create increased demands on liquidity during periods when cash generated from operating activities are lower and
we may also require additional equity or debt financing to maintain its solvency, which may not be available when required or available
on commercially favorable terms. Thus, the Company may struggle to maintain sufficient financial liquidity to absorb the impact of seasonal
variations in energy productions. Other significant events and seasonal variations may adversely affect the Company’s business,
results of operations, cash flows, and financial condition.

The acquisition
of renewable energy facilities or of companies that own and operate renewable energy facilities is subject to substantial risk.

A significant part of
our business model has been to acquire new renewable energy facilities and companies that own and operate renewable energy facilities.
Acquisition of renewable energy facilities or of companies that own and operate renewable energy facilities is subject to substantial
risk. While we believe that we have performed adequate due diligence on prospective acquisitions, we may not have been able to discover
all potential operational deficiencies in such renewable energy facilities. In addition, our expectations for the operating performance
of newly constructed renewable energy facilities as well as those under construction are based on assumptions and estimates made without
the benefit of an operating history.

If we consummate any
future acquisition, in line with our business model, our capitalization and results of operations may change significantly, and shareholders
will generally not have the opportunity to evaluate the economic, financial and other relevant information that we consider in determining
the application of these funds and other resources. As a result, the consummation of acquisitions may have a material adverse effect on
the our business, financial condition, results of operations and cash flows.

Further, we may not be
able to successfully integrate acquired businesses and, where desired, their product portfolios, and therefore the Company may not be
able to realize the intended benefits of such acquisitions. The failure to integrate acquired businesses effectively may adversely impact
the our business, results of operations or financial condition.

The delay between
making significant upfront investments in solar parks and receiving revenue could materially and adversely affect our liquidity, business
and results of operations.

There are generally multiple months
between the initial significant upfront investments in solar parks, solar park development and obtaining permits to build solar parks
which we expect to own and operate and when we begin to receive revenues from the sale of electricity generated by such solar parks after
grid connection. Historically, we have relied on third-party equity contribution,