Company: IPST
Filing Date: 2025-02-04
Form Type: 424B3
Source: 0001213900-25-010139
Chunk: 218

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-02-04
Form: 424B3
Chunk 218
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 financial statements for the nine months ended September 30, 2024 included
elsewhere in this prospectus.

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DESCRIPTION OF CAPITAL STOCK</div>

The following is a summary of the rights of our
common stock, certain provisions of our amended and restated certificate of incorporation and our amended and restated bylaws that became
effective upon completion of our November 2024 initial public offering and applicable law. This summary does not purport to be complete
and is qualified in its entirety by the provisions of our amended and restated certificate of incorporation and amended and restated bylaws,
copies of which have been filed as exhibits to the registration statement of which this prospectus is a part.

Our authorized capital stock consists of 75,000,000 shares
of capital stock, of which 70,000,000 shares are common stock, par value $0.0001 per share, and 5,000,000 shares are preferred stock,
par value $0.0001 per share, of which 500,000 shares have been designated Series A Convertible Preferred Stock.

Common Stock

Voting, Dividend and Other Rights.Each
outstanding share of common stock entitles the holder to one vote on all matters presented to the shareholders for a vote. Holders of
shares of common stock have no cumulative voting, pre-emptive, subscription or conversion rights. All shares of common stock to be issued
pursuant to this registration statement will be duly authorized, fully paid and non-assessable. Our board of directors determines if and
when distributions may be paid out of legally available funds to the holders. To date, we have not declared any dividends with respect
to our common stock. Our declaration of any cash dividends in the future will depend on the determination of our board of directors as
to whether, considering our earnings, financial position, cash requirements and other relevant factors existing at the time, it appears
advisable to do so. We do not anticipate paying cash dividends on the common stock in the foreseeable future.

Rights Upon Liquidation.Upon
liquidation, subject to the right of any holders of preferred stock to receive preferential distributions, each outstanding share of common
stock may participate pro rata in the assets remaining after payment of, or adequate provision for, all our known debts and liabilities.

Majority Voting.The
holders of one-third of the outstanding shares of common stock constitute a quorum at any meeting of the stockholders. A plurality of