Company: NREF
Filing Date: 2025-11-04
Form Type: 424B5
Source: 0001437749-25-033056
Chunk: 28

Company: NexPoint Real Estate Finance, Inc.
Filing Date: 2025-11-04
Form: 424B5
Chunk 28
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 to be a constructive distribution (treated as a dividend to the extent of our current and accumulated earnings and profits and otherwise subject to the treatment of actual distributions) taken into account ratably on an economic accrual basis. Such amount will be taxable as a dividend to the extent of our current and accumulated earnings and profits and will otherwise be subject to the treatment of distributions. In addition, to the extent there are accrued and unpaid dividends as of the date of redemption of our shares, the Internal Revenue Service may take the position that the amount thereof should be treated as an additional redemption premium for purposes of this analysis. Our determination of whether there is a constructive distribution for purposes of Section 305(c) of the Code is binding on our stockholders unless the stockholder discloses it on its tax return.

Shares of Series C Preferred Stock may be redeemed for shares of our common stock, which rank junior to the Series C Preferred Stock with respect to dividends and upon liquidation.

Beginning on the first day of the month following the original issuance of any share of Series C Preferred Stock, the holders of shares of Series C Preferred Stock may require us to redeem such shares and, beginning on the first day of the first quarter following the second anniversary of the original issuance date the Company at its option may redeem all or some portion of the outstanding Series C Preferred Stock, with the redemption price payable, in our sole discretion, in cash or in equal value of shares of our common stock, based on the closing price per share of our common stock for the single trading day prior to the date of redemption. We may opt to pay the redemption price in shares of our common stock. The rights of the holders of shares of Series C Preferred Stock rank senior to the rights of the holders of shares of our common stock as to dividends and payments upon liquidation. Unless full cumulative dividends on shares of our Series C Preferred Stock for all past dividend periods have been declared and paid (or set apart for payment), we will not declare or pay dividends with respect to any shares of our common stock for any period. Upon liquidation, dissolution or winding up of our Company, the holders of shares of our Series C Preferred Stock are entitled to receive a liquidation preference equal to the Stated Value of $25.00 per share, plus an amount equal to accrued but unpaid cash dividends thereon, if any, to but not including the date of payment, in each case prior and in preference to any distribution to the holders of shares of our common stock or any other class of our equity