Company: ALCE
Filing Date: 2025-04-03
Form Type: PRER14C
Source: 0001213900-25-028711
Chunk: 5

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-04-03
Form: PRER14C
Chunk 5
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 attached hereto as Appendix A. Criteria to be Used for Determining Whether to Implement a Reverse Stock Split This proposal gives the Board the discretion to select a Reverse Stock Split ratio from within a range between and including 1:2 and 1:500 on a date selected by him based on his then -currentassessment of the factors below, and in order to maximize Company and stockholder interests. In determining whether to implement the Reverse Stock Split, and which ratio to implement, if any, the Board may consider, among other factors: •the historical trading price and trading volume of our common stock; •the then -prevailingtrading price and trading volume of our common stock and the expected impact of the Reverse Stock Split on the trading market in the short- and long -term; 1 •the initial and continued listing requirements for our common stock on applicable exchanges, if then applicable; •the number of shares of common stock outstanding; •which Reverse Stock Split ratio would result in the least administrative cost to us; and •prevailing industry, market and economic conditions. Certain Risks and Potential Disadvantages Associated with a Reverse Stock Split We cannot assure stockholders that the proposed Reverse Stock Split will sufficiently increase our stock price. The effect of a Reverse Stock Split on our stock price cannot be predicted with any certainty, and the history of reverse stock splits for other companies in various industries is varied, particularly since some investors may view a reverse stock split negatively. It is possible that our stock price after a Reverse Stock Split will not increase in the same proportion as the reduction in the number of shares outstanding, causing a reduction in the Company’s overall market capitalization. Further, even if we implement a Reverse Stock Split, our stock price may decline due to various factors, including our future performance and general industry, market and economic conditions. This percentage decline, as an absolute number and as a percentage of our overall market capitalization, may be greater than would occur in the absence of a Reverse Stock Split. The proposed Reverse Stock Split may decrease the liquidity of our common stock and result in higher transaction costs. The liquidity of our common stock may be negatively impacted by the reduced number of shares outstanding after the Reverse Stock Split, which would be exacerbated if the stock price does not increase following the split. In addition, a Reverse Stock Split would increase the number of stockholders owning “odd lots” of fewer than 20shares, trading in which generally results in higher transaction costs. Accordingly, a Reverse Stock Split may not achieve the desired results of increasing