Company: IPST
Filing Date: 2025-08-26
Form Type: S-1
Source: 0001213900-25-080839
Chunk: 183

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-26
Form: S-1
Chunk 183
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 of property and equipment; and, $346,000 of non -cashinterest expense primarily associated with our notes payable. The approximately $25,425,000 of non -cashadjustments in the years ended December 31, 2023 included approximately: $1,430,000 of depreciation expense; $493,000 of non -cashamortization of operating lease right -of -useassets; $22,765,000 of loss on change in fair value of convertible notes; $240,000 of loss on change in fair value of warrant liabilities; $19,000 of non -cashshare -basedcompensation; and $435,000 of non -cashinterest expense primarily associated with our notes payable. Net Cash Used in Investing Activities During the six months ended June 30, 2025 and 2024, net cash provided by/(used in) investing activities was approximately $55,000 and $(287,000), respectively, related primarily to the purchase of property and equipment, net of amounts related to proceeds from sale of assets. During the years ended December 31, 2024 and 2023, net cash used in investing activities was approximately $101,000 and $24,000, respectively. Investing activities during the years ended December 31, 2024 and 2023 were related primarily to the purchase of property and equipment, net of minor amounts related to purchases/sales of assets. Net Cash Provided By Financing Activities During the six months ended June 30, 2025 and 2024, net cash provided by financing activities was approximately $3,222,000 and $5,744,000, respectively. The cash proceeds received in the six months ended June 30, 2025 were primarily comprised of approximately: $730,000 from the sale of common stock under the ELOC; $2,792,000 from the sale of Series B Preferred Stock (and warrants for the first two non -ELOCInvestor subscriptions); offset by repayment of notes payable of $300,000. The cash proceeds received in the six months ended June 30, 2024 of approximately $5,744,000 were related to approximately: proceeds from convertible notes of $3,656,000 (of which approximately $1,433,000 was from a related party); $439,000 proceeds from notes payable; offset by deferred transaction costs associated with our IPO of $92,000; and repayment of notes payable of $86,000. During the years ended December