Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 53

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 53
---
 fair, from a financial point of view, to Unitholders. In addition, the methodologies that Doane Grant Thornton expected to utilize in valuing the REIT were discussed.

Throughout the process, Doane Grant Thornton reviewed extensive information regarding the REIT and its business operations, properties, assets, financial performance and condition, operating results and prospects and analyzed the financial terms of the Proposed Transaction and the value of the Units. Doane Grant Thornton was provided with access to all requested information and met with Management to review the information on various occasions.

On October 7, 2024, the REIT entered into a mutual confidentiality agreement with NXDT on customary terms. Pursuant to this agreement, the REIT and NXDT provided to each other (and their respective advisors) diligence materials which contained certain public and non-public information concerning the REIT and NXDT. As part of their work, Doane Grant Thornton conducted a site visit for each hotel property owned by the REIT.

<div align='center'>-34-</div>

Throughout the process, the Special Committee met on various occasions, during which meetings the Special Committee:

| ● | received ongoing updates on the work performed to date and a general timetable for the preparation of the Fairness Opinion and information, analysis and advice from Goodmans regarding the duties and responsibilities of the Special Committee in fulfilling its mandate, the terms of the Proposed Transaction and the legal requirements applicable to the Proposed Transaction; |

| ● | received advice and analysis from Doane Grant Thornton on, among other things, the financial terms of the Proposed Transaction and the prospects of the REIT, and Doane Grant Thornton’s perspectives on market conditions and associated valuation implications; |

| ● | engaged in detailed discussions with Doane Grant Thornton regarding their valuation of the REIT and its properties including relevant valuation approaches; |

| ● | evaluated and discussed, with the assistance of Goodmans and Doane Grant Thornton, the terms of the Proposed Transaction (including the relevant definitive documents) and the relative benefits and risks of the Proposed Transaction; |

| ● | with the assistance of Goodmans, conducted the negotiations with NXDT and its advisors with respect of the Merger Agreement; and |

| ● | made recommendations to the Board with respect to the foregoing. |

In addition to its formal meetings, the Special Committee members had additional informal discussions among themselves, as well as with Goodmans and Doane Grant Thornton. None of the representatives of NXDT were present during any of the Special Committee’s meetings or participated in the Special Committee’s decision-making