Company: ALCE
Filing Date: 2025-06-06
Form Type: 10-K
Source: 0001213900-25-052242
Chunk: 1870

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-06-06
Form: 10-K
Item: Item 5
Chunk 1870
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 Nasdaq. Because the Company received
a delisting determination from the Nasdaq on February 10, 2025, the Escrow Agent disbursed the funds back to the Purchasers as provided
below against cancellation of a proportional portion of each Purchaser’s Note (inclusive of original issue discount). The Company
used the net proceeds from the Offering for working capital and other general corporate purposes.

The Notes were issued with
an original issue discount of 20%. No interest shall accrue on the Notes unless and until an Event of Default (as defined in the Notes)
has occurred, upon which interest shall accrue at a rate of twenty percent (20.0%) per annum. The Notes matured on April 23, 2025 and
are currently in default. The Notes contain certain Events of Default, including but not limited to (i) the Company’s failure to
pay any amount of principal, interest, redemption price or other amounts due under the Notes or any other transaction document, (ii)
any default under, redemption of, or acceleration prior to maturity of any indebtedness of the Company, as such term is defined in the
transaction documents, (iii) bankruptcy of the Company or its subsidiaries, (iv) a final judgement or judgements for the payment of money
in excess of $250,000, which is not discharged or stayed pending appeal within 60 days, and (v) any breach or failure to comply with
any provision of the Note or any other transaction document. Upon the occurrence of any Event of Default and at any time thereafter,
the Purchasers shall have the right to exercise all of the remedies under the Notes.

Maxim served as the placement
agent in the Offering, pursuant to the terms of a Placement Agency Agreement and received 8% of the gross proceeds of the Offering, and
placement agent warrants to purchase up to 76,303 shares of common stock at $0.4059 per share (the “Placement Agent Warrants”)
and reimbursement of the legal fees of its counsel of up to $50,000. The Placement Agent Warrants will be exercisable on the six (6)
month anniversary of issuance and will expire on the five (5) year anniversary of issuance.

On January 28, 2025, John
McQuillan, a Class I director of the Company, notified the Company that they will resign from the Company’s Board of Directors
(the “Board”) effective immediately.

On January 28, 2025, R