Company: IPST
Filing Date: 2025-02-04
Form Type: 424B3
Source: 0001213900-25-010139
Chunk: 308

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-02-04
Form: 424B3
Chunk 308
---
 the consummation of the Company’s initial public
offering) if the Company has not listed the common stock on a national or international securities exchange from October 31, 2024 to February
28, 2025.

On November 22, 2024 (Subsequent to September
30, 2024, and prior to the Company’s initial public offering on November 25, 2024), a related party exchanged 250,000 shares of
common stock for 250,000 prepaid warrants to purchase common stock.

In January 2025 the Company entered into a term sheet for an equity line of credit purchase agreement (“the ELOC Purchase Agreement Term Sheet”) with an investor (the ELOC Investor”). Pursuant to the ELOC Purchase Agreement Term Sheet, upon the effectiveness of a related Registration Statement (the ELOC Registration Statement”) the Company and the investor will enter into an equity line of credit purchase agreement whereby the Company will have the right from time to time (at the Company’s option) to direct the Investor to purchase up to $15,000,000 of the Company’s common stock (subject to certain limitations and conditions. (the “ELOC Purchase Agreement”, or the “Facility”). The amount of sales of common stock to the investor under the ELOC Purchase Agreement (the “ELOC Shares”), and the timing of any sales, will be determined by the Company from time to time in its sole discretion and will depend on a variety of factors, including, among others, market conditions, the trading price of the Company’s shares and determinations by the Company 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 Investor.

Within five (5) business days of the close of
execution of the documents for this offering the Company will issue prepaid warrants exercisable into $75,000 worth of common stock
priced at the VWAP per share for the trading day preceding the date such documents are executed (the “Commitment
Warrants”). The Commitment Warrants shall have an exercise price of $0.001 per share and shall not be exercisable if such
exercise into common stock, when combined with other common stock owned by Investor, would cause its ownership to exceed 4.99% of
our overall outstanding common stock. Upon exercise of the Commitment Warrants the resulting shares shall be called
“Commitment