Alternus Clean Energy Inc announced that it has entered into a securities purchase agreement with certain institutional investor issued Senior Unsecured convertible note in the principal amount of $2,160,000 issued at Original Issue 8% Discount Convertible Note and warrants for the gross proceeds of $2,000,000 on April 19, 2024. The Note matures on April 20, 2025 bears interest at a rate of 7% per annum, which shall automatically be increased to 12% per annum in the event of default and ranks senior to the Company?s existing and future unsecured indebtedness. In addition, the Note will be convertible into shares of common stock of the Company at an initial conversion price equal to $0.48 per share of common stock, which represents 125% of the average closing price over the seven trading days prior to closing, subject to adjustment as further specified in the Note.

The Note will be fully repayable in cash upon maturity if not fully converted prior. In addition, the institutional investor has the option of prepayment of up to 20% of the issuance amount of a subsequent financing. the Placement Agent a cash fee of 7% of the gross proceeds received by the Company from the Investor, and (ii) reimburse up to $50,000 of Maxim?s reasonable accountable expenses, including, without limitation, fees and disbursements of Maxim?s counsel and all travel and other out-of-pocket expenses.

As part of the investment, the investor was also granted a five and a half year warrant to purchase an aggregate of 2,411,088 shares of common stock at an exercise price equal to $0.48 per share, subject to adjustment. he offer and sale of the securities in the Private Placement was made pursuant to the exemption from registration provided by Section 4(a)(2) of the Securities Act, as amended (the ?Securities Act?) and/or Rule 506(b) of Regulation D promulgated thereunder.