Company: ALCE
Filing Date: 2025-02-07
Form Type: PRE 14C
Source: 0001213900-25-011375
Chunk: 5

Company: Alternus Clean Energy, Inc.
Filing Date: 2025-02-07
Form: PRE 14C
Chunk 5
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 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 Amendment providing for the Reverse Stock Split is attached hereto as Appendix A. 1 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 1:250 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; •the continued listing requirements for our common stock on Nasdaq or other 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 or, if our stock trades below $1.00 per share for 30 consecutive days, be completed before Nasdaq commences delisting procedures. 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