Company: IPST
Filing Date: 2025-10-16
Form Type: S-1/A
Source: 0001213900-25-099309
Chunk: 426

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-10-16
Form: S-1/A
Chunk 426
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 STOCKHOLDERS’ EQUITY/(DEFICIT) (cont.)

forfeited. In May 2024, RSUs were voluntarily terminated, and were issued, leaving issued RSUs to settle at a grant value of $ per unit. In May 2024, the Board of Directors approved awarding RSUs to employees, directors and consultants with a fair grant value of $ per unit. These RSUs contain a double trigger and, upon grant, were deemed to have met their time-based service requirements for vesting. They will settle on the expiration of the Market Stand-off provision in the 2019 stock incentive plan (or May 24, 2025, which is from the November 25, 2024 closing of the Company’s initial public offering). For the period ended December 31, 2024, upon the consummation of the initial public offering on November 25, 2024, the Company recorded an expense of $ at the fair grant values per RSU for the total then vested awards.

Equity-Based(Non-Cash) Compensation —

|                                                |     | Years Ended  
 December 31, |      2024 |     |   |   2023 |
|:-----------------------------------------------|:----|:-------------|----------:|:----|:--|-------:|
| Production/Cost of Sales                       |     | $            |   178,140 |     | $ |      — |
| Sales and Marketing                            |     |              |   729,592 |     |   |      — |
| General and Administrative                     |     |              | 2,414,097 |     |   |  6,028 |
| Subtotal Employee Compensation                 |     |              | 3,321,829 |     |   |  6,028 |
| Professional Fees (General and Administrative) |     |              | 1,570,281 |     |   | 12,566 |
| Total Non-Cash Share-Based Compensation        |     | $            | 4,892,110 |     | $ | 18,594 |

Equity-classifiedwarrants— The Company estimates the fair values of equity warrants using the Black-Scholes option-pricing model on the date of issuance with Monte Carlo simulations to determine the probability of warrants being exercisable.

Contingent Legacy Shareholder Warrants — On October 30, 2024 the Company issued warrants to purchase common stock that became contingently exercisable upon