Company: IPST
Filing Date: 2025-06-13
Form Type: S-1
Source: 0001641172-25-015121
Chunk: 351

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-06-13
Form: S-1
Chunk 351
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 achieving certain capacity development milestones.

Intangible assets were determined to meet the criterion for recognition apart from tangible assets acquired and liabilities assumed. The fair values of intangible assets were estimated based on various valuation techniques including the use of discounted cash flow analyses, and multi-period excess earnings valuation approaches, which use significant unobservable inputs, or Level 3 inputs, as defined by the fair value hierarchy. These valuation inputs included estimates and assumptions about forecasted future cash flows, long-term revenue growth rates, and discount rates. The fair value of the customer relationships intangible asset was determined using a discounted cash flow model that incorporates the excess earnings method and will be amortized on an accelerated basis over the projected pattern of economic benefits of approximately 6to 10years.

As described in more detail above, Intangible Assets and Goodwill related to the TTS acquisition are composed of the following as of December 31, 2024:

SCHEDULE OF FINITE-LIVED INTANGIBLE ASSETS

| Intangible Assets:                   |     | Life     |     | Cost |           |     | Accumulated  Amortization |        |     | Accumulated  Impairment  Charge |   |     | Net |           |
|:-------------------------------------|:----|:---------|:----|:-----|----------:|:----|:--------------------------|-------:|:----|:--------------------------------|:--|:----|:----|----------:|
| Thinking Tree Trade Name             |     | 6 years  |     | $    |   250,000 |     | $                         | 14,671 |     | $                               | — |     | $   |   235,329 |
| Thinking Tree Customer Relationships |     | 10 years |     |      |   190,000 |     |                           |  4,178 |     |                                 | — |     |     |   185,822 |
| Goodwill – Thinking Tree Acquisition |     | N/A      |     |      |   589,870 |     |                           |    N/A |     |                                 | — |     |     |   589,870 |
| Total                                |     |          |     | $    | 1,029,870 |     | $                         | 18,849 |     | $                               | — |     | $   | 1,011,021 |

There were nointangible assets or goodwill as of December 31, 2023.

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