Company: ALCE
Filing Date: 2025-01-27
Form Type: S-1
Source: 0001213900-25-007054
Chunk: 275

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-01-27
Form: S-1
Chunk 275
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849additional shares and 111,862total number of shares. The FPA provides for a prepayment shortfall in an amount in U.S. dollars equal to $ 500,000. Meteora in its sole discretion may sell Recycled Shares at any time following the Trade Date at prices (i) at or above $ 250.00during the first three months following the Closing Date and (ii) at any sales price thereafter, without payment by Meteora of any Early Termination Obligation until such time as the proceeds from such sales equal 100% of the Prepayment Shortfall. The number of shares subject to the Forward Purchase Agreement is subject to reduction following a termination of the FPA with respect to such shares as described under “Optional Early Termination” in the FPA. The reset price is set at $ 250.00. Commencing from June 22, 2024, the reset price is subject to reduction upon the occurrence of a Dilutive Offering.

The Company holds various financial instruments that are not required to be recorded at fair value. For cash, restricted cash, accounts receivable, accounts payable, and short-term debt the carrying amounts approximate fair value due to the short maturity of these instruments.

The fair value of the Company’s recorded forward purchase agreement (“FPA”) is determined based on unobservable inputs that are not corroborated by market data, which require a Level 3 classification. A Monte Carlo simulation model was used to determine the fair value. The Company records the forward purchase agreement at fair value on the consolidated balance sheets with changes in fair value recorded in the consolidated statements of operation.

| Balance at January 1, 2023                      |     | Forward   
 Purchase  
 Agreement |       - |   |
|:------------------------------------------------|:----|:----------|--------:|:--|
| Recognition of Forward Purchase Agreement Asset |     |           |  17,125 |   |
| Change in fair value                            |     |           | (16,642 | ) |
| Balance at December 31, 2023                    |     |           |     483 |   |
| Change in fair value                            |     |           |    (483 | ) |
| Balance at March 31, 2024                       |     |           |       - |   |
| Change in fair value                            |     |           |       - |   |
| Balance at June 30, 2024                        |     |           |       - |   |
| Change in fair value