Company: IPST
Filing Date: 2025-08-26
Form Type: S-1
Source: 0001213900-25-080839
Chunk: 17

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-26
Form: S-1
Chunk 17
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 products to consumers in our Heritage -brandedTBN distilleries. Once we obtain positive feedback on a new product, we can then launch it for sale directly to consumers via the internet to generate revenue and collect more data from consumers across the country. With new data in hand, we can make decisions with our wholesale partners on which products should be taken to the wholesale market. This direct -to -consumerlaunch model is a strategy we have utilized since our inception. It has been an important part of our ability to launch, test, re -formulateand re -launchproducts that have subsequently proven to be appealing to consumers. • Continue to Innovate Marketing Through the Adoption of Artificial Intelligence (“AI”).We plan to continue testing new AI technology, methods and tools focused on the creation of content, designs, themes and audience identification to maximize the efficiency of our marketing efforts. 7 Recent Developments The Equity Line of Credit.On January 23, 2025, we entered into a Securities Purchase Agreement dated as of January 23, 2025 (the “ELOC Purchase Agreement”) between our company and C/M Capital Master Fund LP, a Delaware limited partnership (the “ELOC Investor”) establishing a committed equity facility (the “Facility” or “Equity Line of Credit”). Pursuant to and subject to the conditions set forth in the ELOC Purchase Agreement, we have the right from time to time at our option to direct the ELOC Investor to purchase shares of our common stock (the “ELOC Shares”) up to the lesser of (i) a maximum aggregate purchase price of $15,000,000 (the “Maximum Commitment Amount”), and (ii) the Exchange Cap (as defined below), subject to certain limitations and conditions set forth in the ELOC Purchase Agreement. Sales of the ELOC Shares to the ELOC Investor under the ELOC Purchase Agreement, and the timing of any sales, will be determined by us from time to time in our sole discretion and will depend on a variety of factors, including, among others, market conditions, the trading price of our shares and determinations by us regarding the use of proceeds from any sale of such ELOC Shares. The net proceeds from any sales under the Facility will depend on the frequency with, and prices at, which the ELOC Shares are sold to the ELOC Investor. Pursuant to the ELOC Purchase Agreement, we sold to the ELOC Investor for an aggregate purchase price of $1,000,000 an aggregate of 100,000