Company: IPST
Filing Date: 2025-10-16
Form Type: S-1/A
Source: 0001213900-25-099309
Chunk: 394

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-10-16
Form: S-1/A
Chunk 394
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 the Flavored Bourbon brand to an arm’s length third party and the receipt by the Company of any proceeds due to it from such brand sale, the holders of the 2022 and 2023 Convertible Promissory Notes shall receive a one -timepayment in an amount equal to 150% of their original subscription amount. Such payment shall be in addition to any other amounts otherwise due and shall survive the conversion or repayment of the 2022 and 2023 Convertible Promissory Notes. Accordingly, the $ 10,900,000in 2022 Convertible Promissory Notes subscriptions and $ 5,430,000in 2023 Convertible Promissory Notes subscriptions will be due an aggregate of $ 24,495,000upon the sale of Flavored Bourbon, LLC to an arm’s length third party. 2024 Series — Convertible Whiskey Special Ops 2023 Notes In September 2023, the Company opened a $ 5,000,000Round of convertible notes with a 12.5% interest rate and an August 29, 2026 maturity date (the “Whiskey Special Ops 2023 Notes” or the “Whiskey Notes”). In March 2024, the Round was increased to $ 10,000,000. F-70 Heritage Distilling Holding Company, Inc.
Notes to Consolidated Financial Statements NOTE 5 — CONVERTIBLE NOTES (cont.) As of November 25, 2024 and December 31, 2023, the Company had: $ 8,526,245and $ 2,975,000, respectively in outstanding principal; and $ 6,630,870and $ 2,975,000, respectively, from proceeds of Whiskey Special Ops 2023 Notes (of which, $ 3,247,425and $ 800,000, respectively, in principal, and $ 2,233,000and $ 800,000, respectively, of proceeds was with a related party); and a fair value for the related Warrant Liability of $ 0and $ 1,512,692, respectively, (of which $ 0and $ 406,774, respectively, in fair value was with a related party). The Whiskey Special Ops 2023 Notes include warrant coverage equal to the Subscription Amount actually paid by the holder pursuant to the Securities Purchase Agreement, divided by the Exercise Price, as defined as the price per share of the Company’s assumed IPO or