Company: IPST
Filing Date: 2025-12-19
Form Type: S-1/A
Source: 0001213900-25-123872
Chunk: 435

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-12-19
Form: S-1/A
Chunk 435
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 Legacy Shareholder Warrants, (of which ; ; and , respectively were to a related party) with weighted-average remaining contractual terms of years, years, and years, respectively.

Other equity classified warrants — In addition to the Contingent Legacy Shareholder Warrants discussed above, during the year ended December 31, 2024, the Company issued a total of equity classified warrants, including: warrants at $ per share in conjunction with July 2024 accounts receivable factoring agreement (which remain outstanding, and are not subject to split in accordance with the respective warrant agreement); Underwriter Warrants in conjunction with the Company’s initial public offering; and, warrants to purchase common stock, (of which, were to a related party) in connection with the issuance of Series A Preferred Stock. Upon the November 25, 2024 initial public offering at $ per share, the warrants at $ per share were recalculated and reissued as warrants at $ per share (and the related party warrants at $ per share were recalculated and reissued as warrants at $ per share.). For the year ended December 31, 2023 the Company issued warrants. During the years ended December 31, 2024 and 2023, the assumptions used in the Black-Scholes option pricing model were as follows:

|                                           |     | For the Years Ended 
        December 31, |     |      |
|                                           |     |                2024 |     | 2023 |
| Weighted Average Expected Volatility      |     |                 70% |     |    — |
| Expected Dividends                        |     |                  —% |     |    — |
| Weighted Average Expected Term (in years) |     |                   5 |     |    — |
| Risk-Free Interest Rate                   |     |               4.22% |     |    — |

As of December 31, 2023, fixed warrants were exchanged for previously issued variable warrants. As of December 31, 2024 and 2023, in addition to the Contingent Legacy Shareholder Warrants discussed above, there were outstanding and exercisable warrants to purchase and , respectively, shares of common stock, As of December 31, 2024, the weighted-average remaining contractual term was years for the outstanding and exercisable warrants.

The Underwriting Agreement and the related warrants granted to the Underwriter equal % of the total proceeds raised in the Company’s November 25, 2024 initial public offering at