Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 64

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 64
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 to be received pursuant to the Transaction, does not address any other aspect of the Transaction and does not constitute a recommendation as to how Unitholders should vote or act with respect to the Transaction.

After carefully evaluating the Transaction with the assistance of its financial and legal advisors and after reviewing the Fairness Opinion and considering a number of other factors noted above, the Special Committee unanimously determined that the Transaction was in the best interests of the REIT and its Unitholders. Accordingly, the Special Committee unanimously recommends that Unitholders vote FOR the Transaction Resolution at the Meeting.

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After carefully evaluating the Transaction with the assistance of its financial and legal advisors and after reviewing the Fairness Opinion and considering a number of other factors noted above, including the recommendation of the Special Committee, the Board (with Mr. Dondero declaring his interest in the Transaction and abstaining from voting) unanimously determined that the Transaction, on the terms and conditions negotiated by the Special Committee, was in the best interests of the REIT and its Unitholders. Accordingly, the Board (with Mr. Dondero declaring his interest in the Transaction and abstaining from voting) recommends that Unitholders vote FOR the Transaction Resolution at the Meeting.

To become effective, the Transaction Resolution must be approved by (i) the affirmative vote of not less than two-thirds (66 /%) of the votes cast upon such Transaction Resolution by Unitholders present in person or represented by proxy at the Meeting; and (ii) the affirmative vote of a majority of the votes cast upon the Transaction Resolution by Unitholders present in person or represented by proxy at the Meeting, excluding votes attached to such Units held by persons described in items (a) through (d) of section 8.1(2) of MI 61-101, being NXDT, James Dondero and certain entities affiliated with Mr. Dondero. For more information see“Interests of Certain Persons in the Transaction”.

The following is a summary of the Transaction and the Transaction mechanics, as outlined in greater detail in the Merger Agreement. This summary does not purport to be complete and may not contain all of the information included in the Merger Agreement that is important to you. The summary of the material terms of the Transaction below and elsewhere in this Information Circular is qualified in its entirety by reference to the Merger Agreement, which has been filed by the REIT on SEDAR+ atwww.sedarplus.ca. We urge you to read a copy