Company: IPST
Filing Date: 2025-10-16
Form Type: S-1/A
Source: 0001213900-25-099309
Chunk: 168

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-10-16
Form: S-1/A
Chunk 168
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b) on the six -monthanniversary of the warrant issuance date. The exchange of Series B Preferred Stock for common stock and warrants is included in the pro forma balance sheet data below, with no net impact to total stockholders’ equity/(deficit) as the aggregate par value and additional paid in capital related to the Series B Preferred Stock is reclassified to a same aggregate amount of par value and additional paid in capital related to the common stock and warrants. In conjunction with the sale of our Pre -FundedWarrants, in July 2025, we negotiated terms with a number of our secured and unsecured creditors, whereby, contingent and effective only upon the occurrence of the closing of a financing transaction with third -partyprivate investors in excess of $75 million dollars and involving a tradable 99

cryptocurrency, token or other similar digital asset (the “Trigger Date”), we agreed to pay a negotiated amounts of cash or equity in settlement of the amounts owed to such obligees. The result of the negotiated settlements with the secured and unsecured creditors was (i) $10,382,438 of our secured notes payable as of June 30, 2025 ($12,620,345 as of August 7, 2025, including settlement fees and expenses and additional accrued interest) was negotiated to be settled for $7,046,094 in cash and $2,963,624 of warrants with the remaining $2,610,627 recognized as a gain on settlement in the (third quarter) statement of operations; and (ii) an aggregate of $3,792,767 of our unsecured accounts payable as of June 30, 2025 was settled for $1,816,250 in cash, $851,628 payable in equity with the remaining $1,124,889 to be recognized in the (third quarter) statement of operations. The following table sets forth a summary of our historical financial data as of, and for the periods ended on, the dates indicated. The operating data for the years ended December 31, 2024 and 2023 and the balance sheet data as of December 31, 2024 and 2023 have been derived from our audited consolidated financial statements. The operating data for the six months ended June 30, 2025 and 2024 and the balance sheet data as of June 30, 2025 have been derived from our unaudited interim condensed consolidated financial statements. The unaudited interim condensed consolidated financial statements were prepared