Company: IPST
Filing Date: 2025-12-23
Form Type: 424B3
Source: 0001213900-25-125341
Chunk: 428

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-12-23
Form: 424B3
Chunk 428
---
157.80 per share. No ISOs may be granted more than ten (10) years after the earlier of the approval by the Board, or the stockholders, of the 2019 Plan. There were no grants in the years ended December 31, 2024 and 2023. As of December 31, 2024, the Company had $0 of unrecognized compensation expense related to ISOs expected to vest over a weighted average period of 0.0 years. The weighted average remaining contractual life of outstanding and exercisable ISOs is 1.86 years. The following table presents stock -basedcompensation expense included in the consolidated statements of operations related to ISOs issued under the 2019 Plan:

|                                |     | For the Twelve Months Ended 
 December 31,                
 2024                        |   |     | 2023 |        |
|:-------------------------------|:----|:----------------------------|:--|:----|:-----|-------:|
| Cost of Sales                  |     | $                           | — |     | $    |      — |
| Sales and Marketing            |     |                             | — |     |      |      — |
| General and Administrative     |     |                             | — |     |      | 18,595 |
| Total Share-based Compensation |     | $                           | — |     | $    | 18,595 |

Restricted stock units— The RSU awards granted in 2019 under the 2019 Plan were granted at the fair market value of the Company’s stock on the applicable date of grant. RSU awards generally vest ratably over periods ranging from one to four years from the grant’s start date. Upon termination of service to the Company, vesting of RSU awards ceases, and most RSU grants are forfeited by the participant, unless the award agreement indicates otherwise. The majority of RSU awards are “double trigger” and both the service -basedcomponent, and the liquidity -eventcomponent (including applicable lock -upperiods) must be satisfied prior to an award being settled. Upon settlement, the RSU awards are paid in shares of common stock. The Company recognizes the compensation expense for the restricted stock units based on the fair value of the shares at the grant date amortized over the stated period for only those shares that are not subject to the double trigger. The following table summarizes the RSU activity for the years ended December 31, 2024 and 2023:

|                                               |