Company: IPST
Filing Date: 2025-08-18
Form Type: PRE 14A
Source: 0001788230-25-000134
Chunk: 20

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-18
Form: PRE 14A
Chunk 20
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 stock equals or exceeds $1.00 per share (the “First Tranche Warrants”), (ii) warrants to purchase up to 4,075,000 shares of common stock that will vest on the earlier of six months following the issue date or the date on which the closing price of the common stock equals or exceeds $1.50 per share (the “Second Tranche Warrants”), (iii) warrants to purchase up to 4,200,000 shares of common stock that will vest on the earlier of six months following the issue date or the date on which the closing price of the common stock equals or exceeds $2.00 per share (the “Third Tranche Warrants”), and (iv) warrants to purchase up to 5,250,000 shares of common stock that will vest in 12 equal monthly installments of 437,500 shares beginning on the issue date so that all of such warrants are vested 12 months following the issue date (the “Fourth Tranche Warrants” and together with the First Tranche Warrants, the Second Tranche Warrants and the Third Tranche Warrants, the “Advisory Warrants”), with each warrant exercisable only upon receipt of stockholder approval of Proposal Two at the Special Meeting and subject to vesting, forfeiture, and such other terms as set forth therein. The shares of common stock issuable upon exercise of the Advisory Warrants are referred to herein as the “Advisory Warrant Shares.” Each of the Advisory Warrants expires five years from the date of issuance. The Advisory Warrants contain incidental registration rights, pursuant to which we are required to register the Advisory Warrant Shares for resale in the Registration Statement to be filed by us pursuant to the Registration Rights Agreement. In addition, in the Advisory Agreement of one of the Advisors, we agreed to grant to such Advisor 2,500,000 restricted stock units under our 2024 Equity Incentive Plan following the receipt of stockholder approval of the Incentive Plan Proposal at the Special Meeting, and in the Advisory Agreement of another Advisor, we agreed to grant to such other Advisor under such plan restricted stock units having a value equal to $250,000 (collectively, the “Advisory RSUs”).

Placement Agency Agreement

In connection with the Offering, we entered into a Placement Agency Agreement, dated as of August 11, 2025 (the “Agency Agreement”) with Cantor Fitzgerald & Co. and Roth Capital Partners, LLC, as placement agents (the