Company: NXDT
Filing Date: 2025-06-12
Form Type: S-4
Source: 0001437749-25-020201
Chunk: 52

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-06-12
Form: S-4
Chunk 52
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 stockholder’s ability to obtain injunctive relief or other equitable remedies for a violation of a director’s or an officer’s duties to New NXDT or New NXDT’s stockholders, although the equitable remedies may not be an effective remedy in some circumstances.

New NXDT intends to enter into indemnification agreements with its directors and executive officers that provide for indemnification to the maximum extent permitted by Maryland law. We maintain a general liability insurance policy that will cover certain liabilities of New NXDT’s directors and officers arising out of claims based on acts or omissions in their capacities as directors and officers.

Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers or persons controlling New NXDT pursuant to the foregoing provisions, New NXDT has been advised that in the opinion of the staff of the SEC, such indemnification is against public policy as expressed in the Securities Act and is therefore unenforceable.

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MATERIAL U.S. FEDERAL INCOME TAX CONSIDERATIONS</div>

The following is a summary of the material U.S. federal income tax considerations relating to the Conversion, and to the ownership and disposition of New Common Stock, as applicable. This discussion is for your general information only. This summary is not tax advice. The tax treatment of a holder will vary depending upon the holder’s particular situation, and this summary addresses only holders that hold Old Shares and shares of New Stock, as applicable, as capital assets within the meaning of Section 1221 of the Code and does not deal with all aspects of taxation that may be relevant to particular holders in light of their personal investment or tax circumstances. This summary also does not deal with all aspects of taxation that may be relevant to certain types of holders to which special provisions of the U.S. federal income tax laws apply, including:

| ● | dealers in securities or currencies; |

| ● | traders in securities that elect to use a mark-to-market method of accounting; |

| ● | financial institutions; |

| ● | insurance companies; |

| ● | REITs; |

| ● | regulated investment companies; |

| ● | pension plans or other tax exempt organizations; |

| ● | partnerships or entities treated as partnerships for U.S. federal income tax purposes and investors therein, S corporations or other pass-through entities; |

| ● | persons liable for the alternative minimum tax; |

| ● | persons that hold Old Shares or shares of New Stock, as applicable, that are a hedge, that