Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 130

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 130
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.” The Series A Preferred Shares are listed on the NYSE under the symbol “NXDT PA.”

Transfer Agent and Registrar

The transfer agent and registrar for the NXDT Common Shares and Series A Preferred Shares is Equiniti Trust Company, LLC.

Certain Canadian Federal Income Tax Considerations

The following is a summary of the principal Canadian federal income tax considerations under the Tax Act generally applicable as of the date hereof to a holder of Units whose Units are redeemed for cash pursuant to the Reorganization, or exchanged for New NHT Shares pursuant to the Reorganization and subsequently exchanged for NXDT Common Shares pursuant to the Company Merger and who, for the purposes of the Tax Act and at all relevant times, deals at arm’s length with the REIT, New NHT, NXDT Intermediary and NXDT, and is not affiliated with the REIT, New NHT, NXDT Intermediary or NXDT and holds the Units, will hold any NHT Shares and NXDT Common Shares received pursuant to the Reorganization and the Company Merger as capital property (in this section of the information circular/prospectus, referred to as a “Holder”). The Units, New NHT Shares and NXDT Common Shares generally will be capital property to a Holder provided that the Holder does not hold such Units, New NHT Shares or NXDT Common Shares, as applicable, in the course of carrying on a business and has not acquired them in a transaction or transactions considered to be an adventure or concern in the nature of trade.

This summary does not apply to a Holder: (i) that is a “financial institution” subject to the mark-to-market rules in the Tax Act; (ii) an interest in which would be a “tax shelter investment” within the meaning of the Tax Act; (iii) that has elected to determine its Canadian tax results in a foreign currency pursuant to the “functional currency” reporting rules, in the Tax Act; (iv) to which the 10% Exception (as defined below) does not apply (See “Certain U.S. Federal Income Tax Considerations”); (v) that has entered or will enter into a “derivative forward agreement” or a “synthetic disposition arrangement”, each as defined in the Tax Act, with respect to the Holder’s Units, New NHT Shares or NXDT Common Shares; or (vi) in respect of which New NHT or NXDT is, or is deemed to be, at any time a “foreign affiliate” or “controlled foreign affiliate