Company: IPST
Filing Date: 2025-08-26
Form Type: S-1
Source: 0001213900-25-080839
Chunk: 291

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-26
Form: S-1
Chunk 291
---
9         
 thereafter   |     | Amount |  3,544,917 
  9,230,229 
     66,789 
    239,081 
          — 
          — |
|:-------------|:----|:-------|-----------:|
|              |     | $      | 13,081,016 |

Liabilities for Deferred Revenue— During 2023, the Company entered into a distilled spirits barreling production agreement with a related party for production of 1,200 barrels of distilled spirits over time. There was a prepayment of $1,000,000 made to the Company in January 2023. In March 2024, the agreement was amended to 600 barrels for $500,000, with the then $500,000 excess prepayment used to purchase a Whiskey Note in the principal amount of $672,500, which was subsequently exchanged (upon the consummation of the Company’s initial public offering on November 25, 2024) under the terms of a Subscription Exchange Agreement for common stock in conjunction with the February 29, 2024 exchange of Whiskey Notes for common stock. NOTE 6 — FAIR VALUE MEASUREMENT Upon the consummation of the Company’s initial public offering on November 25, 2024, the 2022 and 2023 Convertible Notes; Warrant Liabilities — 2022 and 2023 Convertible Notes; Whiskey Special Ops 2023 Notes; and Warrant Liabilities — Whiskey Special Ops 2023 Notes were all exchanged and reclassified from liabilities to equity. Accordingly, the respective fair values of those liabilities as of both June 30, 2025 and December 31, 2024 was $0, The following table provides a roll forward of the aggregate fair values of the Company’s financial instruments described above, for which fair value is determined using Level 3 inputs during the six months ended June 30, 2025:

|                               |     | 2022 and 2023 
 Convertible   
 Notes         |             |   |     | Whiskey     
 Special Ops 
 Notes       |            |     | 2022 Notes  
 Warrant     
 Liabilities |         |     | Whiskey       
 Special Ops   
 Notes Warrant 
 Liabilities   |            |   |     | Acquisition 
 Contingency 
 Liabilities |          |   |
|:------------------------------|:----|:--------------|------------:|:--|:----|