Company: ALCE
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001213900-25-105077
Chunk: 157

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 157
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The Company measures the April
and and October private placement warrants using a Monte Carlo simulation valuation model and applying the following assumptions as of
June 30, 2025:

    Warrant Liability 
  
    Risk-free rate 
     3.78%
  
    Underlying stock price 
    $6.40 
  
    Expected volatility 
     55%
  
    Term 
     4.81 years 
  
    Dividend yield 
     0%

The
following table presents changes of the convertible notes issued April 2024 and October 2024, and private placement warrants issued
April 2024 with significant unobservable inputs (Level 3) as of June 30, 2025, in thousands. As
the terms of the notes are mostly identical the Company has combined the amounts as shown below:

    Convertible Notes April 2024  
    Convertible Notes October 2024  
    Total 
  
    Balance at December 31, 2024 
    $356  
     1,346  
     1,702 
  
    Conversions in period 
     -  
     (2,058) 
     (2,058)
  
    Movement in fair value 
     (29) 
     835  
     806 
  
    Balance at March 31, 2025 
     327  
     123  
    $450 
  
    Conversions in period 

     (52)
  
    Reclass of accrued interest to convertible note 

     316 
  
    Movement in fair value 

     887 
  
    Balance at June 30, 2025 

    $1,601 

    Warrant
 Liability 
  
    Balance at December 31, 2024 
    $811 
  
    Change in fair value 
     (811)
  
    Balance at June 30, 2025 
     - 

The
following table presents changes of the warrants issued to 3i on April 28, 2025 with
significant unobservable inputs (Level 3) as of June 30, 2025, in thousands:

Warrants Issued in April 2025:

On April 28, 2025 the
Company issued warrants to purchase up to 170,000 shares of the Company’s common stock at an exercise price of $6.00 per
share. The warrants are exercisable immediately