Company: ALCE
Filing Date: 2025-04-14
Form Type: DEF 14C
Source: 0001213900-25-031333
Chunk: 4

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-04-14
Form: DEF 14C
Chunk 4
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OR-500, A S DETERMINE D BY OUR BOARD OF DIRECTORS IN ITS SOLE DISCRETION The Board and our Majority Stockholders have approved an amendment to our Certificate of Incorporation to effect a reverse stock split of our common stock at a reverse stock split ratio ranging from 1:2 to 1:500, inclusive, as may be determined at the appropriate time by the Board, in its sole discretion (the “Reverse Stock Split”). This means that the Board will be able to decide whether and when to effect the Reverse Stock Split without further action from the stockholders. The effectiveness of this amendment or the abandonment thereof, notwithstanding stockholder approval, will be determined by the Board, at its sole option, any time. Reasons for a Reverse Stock Split To potentially improve the marketability and liquidity of our common stock. The Board believes that an increased stock price may improve the marketability and liquidity of our common stock. For example, many brokerages, institutional investors and funds have internal policies that either prohibit them from investing in low -pricedstocks or tend to discourage individual brokers from recommending low -pricedstocks to their customers by restricting or limiting the ability to purchase such stocks on margin. Additionally, investors may be dissuaded from purchasing stocks below certain prices because brokers’ commissions, as a percentage of the total transaction value, can be higher for low -pricedstocks. To decrease the risk of market manipulation of our common stock. The Board believes that the potential increase in stock price may reduce the risk of market manipulation of our common stock, which we believe is enhanced when our stock trades below $1.00 per share. By reducing market manipulation risk, we may also thereby potentially decrease the volatility of our stock price. To provide us with flexibility with respect to our authorized common stock. A Reverse Stock Split is expected to increase the number of authorized, but unissued and unreserved, shares of our common stock. These additional shares would provide flexibility to the Company for raising capital; repurchasing debt; providing equity incentives to employees, officers, directors, consultants and advisors (including pursuant to our equity compensation plan); expanding our business through the acquisition of other businesses and for other purposes. However, at present, we do not have any specific plans, arrangements, understandings or commitments for the additional shares that would become available. Accordingly, for these and other reasons, the Board believes that a Reverse Stock Split is in the best interests of the Company and our stockholders. A copy of the draft of the Certificate of