Company: IPST
Filing Date: 2025-06-03
Form Type: 8-K
Source: 0001788230-25-000105
Chunk: 3

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-06-03
Form: 8-K
Item: Item 3.02
Chunk 3
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 of $0.001 per share. The Warrants are exercisable only if the issuance of the shares of Series B Preferred Stock and Warrants are approved by the Company’s stockholders in accordance with Nasdaq Listing Rule 5635(d)(2), which generally requires stockholder approval prior to the issuance of securities in connection with a transaction (or a series of related transactions) other than a public offering involving the sale, issuance or potential issuance of common stock (or securities convertible into or exercisable for common stock) equal to 20% or more of the common stock or 20% or more of the voting power outstanding before the issuance at a price that is less than the lower of (i) the Nasdaq Official Closing Price (as reflected on Nasdaq. com) immediately preceding the signing of the binding agreement; or (ii) the average Nasdaq Official Closing Price of the common stock (as reflected on Nasdaq. com) for the five trading days immediately preceding the signing of the binding agreement. A holder (together with its affiliates) may not exercise any portion of a Warrant to the extent that the holder would own more than 4.99% of the Company’s outstanding common stock immediately after exercise, except that upon at least 61 days’ prior notice from the holder to the Company, the holder may increase the amount of ownership of outstanding stock after exercising the holder’s Warrants up to 9.99% of the number of shares of common stock outstanding immediately after giving effect to the exercise, as such percentage ownership is determined in accordance with the terms of the Warrants. No fractional common stock will be issued in connection with the exercise of a Warrant. In lieu of fractional shares, the Company will round down to the next whole share.

General

The foregoing description of the Purchase Agreements do not purport to be complete and are qualified in their entirety by reference to the full text of the form of such agreements, copies of which are attached hereto as Exhibit 10.1 and 10.2, which are incorporated herein in their entirety by reference. The representations, warranties and covenants contained in such agreements were made only for purposes of such agreements and as of specific dates, were solely for the benefit of the parties to such agreements and may be subject to limitations agreed upon by the contracting parties. The foregoing descriptions of the Warrants and the Series B Preferred Stock do not purport to be complete and are qualified in their entirety by reference to the full text of the form of Warrant or