Company: IPST
Filing Date: 2025-12-12
Form Type: S-1/A
Source: 0001213900-25-121277
Chunk: 16

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-12-12
Form: S-1/A
Chunk 16
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arrants, between June 19, 2025 and August 10, 2025, we entered into advisory and implementation agreements (the “Advisory Agreements”) with Open World, Inc. and certain of its management and affiliates, S.Y. Lee, the founder and chief executive officer of PIP Labs, the original creator of Story, and certain other advisors to our company (collectively, the “Advisors”), pursuant to which the Advisors will provide to us certain consulting, strategy and business development services related to our establishment of a treasury function in certain non -securitycryptocurrencies, including $IP Tokens. Pursuant to the Advisory Agreements, in consideration for the advisory services of the Advisors, we issued to certain Advisors an aggregate of 323,854 shares of common stock, warrants (the “Advisory Warrants”) to purchase up to an aggregate of 875,000 shares of common stock for a purchase price of $0.20 per share, with each Advisory Warrant subject to vesting, forfeiture and such other terms as are set forth therein, and restricted stock units that, upon vesting, will settle into an aggregate of 125,000 shares of common stock. For additional information about our offering of Pre -FundedWarrants, see “Issuance of Securities to Selling Stockholders — Offering of Pre -FundedWarrants” commencing on page 66. Risks Associated with Our Business Our ability to execute our business strategy is subject to numerous risks, as more fully described in the section captioned “Risk Factors” immediately following this prospectus summary. You should read these risks before you invest in our common stock. Risks associated with our business include, but are not limited to, the following: •Our operating history and evolving business make it difficult to evaluate our prospects and risks. •We have a history of losses and may not achieve or maintain profitability in the future. •Our historical financial statements do not reflect the potential variability in earnings that we may experience in the future relating to our $IP Token holdings. Moreover, our quarterly operating results, revenues, and expenses may fluctuate significantly, which could have an adverse effect on the market price of our common stock. 6 •Actions related to cryptocurrencies, including but not limited to, accepting, accumulating or acquiring $IP Tokens or other cryptocurrencies, and risks associated with their volatility, stability, price, utilization, adoption, recognition, regulation, taxation, storage, handling and security of transacting, holding or using such cryptocurrencies in