Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 276

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 276
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14</div>

| 12.04 | While we did not consider any of the companies reviewed to be directly comparable to the Trust, we believe they share certain business, financial, and/or operational characteristics with those of the Target and we used our professional judgement in selecting the most appropriate trading multiples. |

| 12.05 | The minimum, median, average, and maximum metrics noted above are outlined in the table below: |

| 12.07 | The price to NAV implied by our valuation is in above the range of comparable public companies and supports our fairness conclusions herein. |

Precedent transactions

| 12.08 | In order to conduct our analysis, we reviewed the purchase prices and transaction multiples of precedent public market M&A transactions that we, based on our experience, considered relevant. While the targets in the selected transactions operate in similar industries to the Trust, we note that none of them are identical to the Trust. |

| 12.09 | For each of the selected transactions, we considered the price / FFO, price / AFFO, price / NBV, and price to NAV. |

| 12.10 | The selected precedent transactions were as follows: |

<div align='center'>E-15</div>

| 12.11 | While we considered these transactions, we have recognized the limitations of any comparison between the valuation multiple from these transactions and the multiples implied in our valuation due to the fact that: |

| a) | Public information regarding these transactions, such as the terms and conditions governing the transactions are limited. Such terms and conditions can have a material impact on the stated purchase price. |

| b) | The transactions involved organizations that are significantly different from the Trust in terms of their size, geographical reach, client base, and product offerings, among other things. |

| 12.12 | The minimum, median, average, and maximum metrics noted above are outlined in the table below: |

| 12.14 | The price to NAV implied by our valuation is in excess of the range implied by precedent transactions and supports our fairness conclusions herein. |

Control premiums

| 12.15 | We also considered a range of control premiums associated with the acquisition of control of hospitality REITS in the public markets. The control premiums of these transactions ranged from negative 12% to 59% with an average of 21%. The control premium implied by the Proposed Transaction of 2300% is in excess of the range of those implied by precedent transactions and supports our fairness conclusions herein