Company: NXDT
Filing Date: 2025-06-12
Form Type: S-4
Source: 0001437749-25-020201
Chunk: 116

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-06-12
Form: S-4
Chunk 116
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 New Series B Preferred Stock will be made at the option of the holder upon delivery by the holder of a duly completed notice to New NXDT or through the procedures of The Depository Trust Company (“DTC”), which will be irrevocable except upon written consent of New NXDT, in compliance with the required procedures, including those of New NXDT’s transfer agent and DTC. The number of shares of New Common Stock issuable to a holder of New Series B Preferred Stock upon conversion will be determined based on the per share conversion rate in effect as of the date the holder delivers a duly completed notice to New NXDT. The conversion date for shares to be converted at the option of a holder will be a date selected by New NXDT in its discretion that is within 45 days of the date New NXDT receives a conversion notice from the holder. Each conversion notice will specify the number of shares of New Series B Preferred Stock to be converted, the number of shares of New Series B Preferred Stock owned prior to the conversion at issue and the number of shares of New Series B Preferred Stock owned subsequent to the conversion at issue.

In the event that New NXDT provides notice of its intent to redeem all or some portion of outstanding New Series B Preferred Stock for which a holder has provided a conversion notice, such holder may revoke its notice with respect to such New Series B Preferred Stock by delivering, prior to the applicable conversion date, a written notice of revocation to New NXDT or through the procedures of DTC (the “Stated Transfer Procedures”).

Redemption

Beginning on the first day of the month following the Original Issue Date, holders will have the right to require New NXDT to redeem such holder’s shares of New Series B Preferred Stock at a redemption price equal to the Series B Stated Value less a redemption fee calculated thereon, plus an amount equal to accrued but unpaid cash dividends thereon, if any, to but not including the date of redemption. The redemption fee will be equal to:

| • | Beginning on the first day of the month following the Original Issue Date of the shares to be redeemed: 12% of the Series B Stated Value; |

| • | Beginning on the first day of the month following the first anniversary of the Original Issue Date of the shares to be redeemed: 9% of the Series B Stated Value; |

| • | Beginning on the first day of the month following the second anniversary of the Original Issue Date of the shares to be redeemed: 6% of the