Company: IPST
Filing Date: 2025-06-13
Form Type: S-1
Source: 0001641172-25-015121
Chunk: 238

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-06-13
Form: S-1
Chunk 238
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 $ 70,574, was classified as a current liability on the Company’s consolidated balance sheet as of March 31, 2025. The outstanding principal repayments due after the next 12 months of $ 9,485,939, net of debt issuance cost of $ 50,261, was classified as a long-term liability on the Company’s consolidated balance sheet as of March 31, 2025.

The following table represents principal repayments from 2025 and the years through 2029 and thereafter:

SCHEDULE OF PRINCIPAL REPAYMENTS

| Years                          
 Ending                         
 2025                           
 2026                           
 2027                           
 2028                           
 2029                           
 2029                           
 thereafter                     |     | Amount |  3,529,169 
  9,245,977 
     66,789 
    239,081 
          — 
          — |
|:-------------------------------|:----|:-------|-----------:|
| Total                          
 borrowing principal repayments |     | $      | 13,081,016 |

Liabilities for Deferred Revenue— During 2023, the Company entered into a distilled spirits barreling production agreement with a related party for production of 1,200barrels of distilled spirits over time. There was a prepayment of $ 1,000,000made to the Company in January 2023. In March 2024, the agreement was amended to 600barrels for $ 500,000, with the then $ 500,000excess prepayment used to purchase a Whiskey Note in the principal amount of $ 672,500, which was subsequently exchanged (upon the consummation of the Company’s initial public offering on November 25, 2024) under the terms of a Subscription Exchange Agreement for common stock in conjunction with the February 29, 2024 exchange of Whiskey Notes for common stock.

| 143 |

Heritage Distilling Holding Company, Inc.

Notes to Condensed Consolidated Financial Statements

(unaudited)

NOTE 6 — FAIR VALUE MEASUREMENT

Upon the consummation of the Company’s initial public offering on November 25, 2024, the 2022 and 2023 Convertible Notes; Warrant Liabilities - 2022 and 2023 Convertible Notes; Whiskey Special Ops 2023 Notes; and Warrant Liabilities - Whiskey Special Ops 2023 Notes were all exchanged and reclassified from