Company: IPST
Filing Date: 2025-08-15
Form Type: 424B3
Source: 0001641172-25-024441
Chunk: 56

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-15
Form: 424B3
Chunk 56
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 share issued in connection with the ELOC Agreement (that were exercised in February, 2025).

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<div align='center'>Heritage Distilling Holding Company, Inc.

Notes to Condensed Consolidated Financial Statements

(unaudited)</div>

NOTE 7 — STOCKHOLDERS’ EQUITY / (DEFICIT)(cont.)

In addition to the Contingent Legacy Shareholder Warrants discussed above, during the year ended December 31, 2024, the Company issued a total of 413,971 equity classified warrants, including: 83,333 warrants at $6.00 per share in conjunction with July 2024 accounts receivable factoring agreement; 84,377 Underwriter Warrants in conjunction with the Company’s initial public offering; and, 197,013 warrants to purchase common stock, (of which, 60,563 were to a related party) in connection with the issuance of Series A Preferred Stock. Upon the November 25, 2024 initial public offering at $4.00 per share, the 197,013 warrants at $5.00 per share were recalculated and reissued as 246,267 warrants at $4.00 per share (and the 60,563 related party warrants at $5.00 per share were recalculated and reissued as 75,705 warrants at $4.00 per share.). During six months ended June 30, 2025, and the year ended December 31, 2024, the assumptions used in the Black-Scholes option pricing model were as follows:

|                                           |     |     | For the Six Months Ended  June 30, 2025 |   |     |     | For the Year Ended  December 31, 2024 |   |
|:------------------------------------------|:----|:----|----------------------------------------:|:--|:----|:----|--------------------------------------:|:--|
| Weighted Average Expected Volatility      |     |     |                                      70 | % |     |     |                                    70 | % |
| Expected Dividends                        |     |     |                                       — | % |     |     |                                     — | % |
| Weighted Average Expected Term (in years) |     |     |                                       5 |   |     |     |                                     5 |   |
| Risk-Free Interest Rate                   |     |     |                            3.88% - 4.66 | % |     |