Company: NXDT
Filing Date: 2025-06-12
Form Type: S-4
Source: 0001437749-25-020201
Chunk: 50

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-06-12
Form: S-4
Chunk 50
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 in the latter case the business combination is first approved by New NXDT’s board of directors (including a majority of directors who are not affiliates or associates of such person) 
 The business combination provisions of the MGCL may discourage others from trying to acquire control of New NXDT and increase the difficulty of consummating any offer to acquire control of New NXDT.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
 Control Share Acquisitions. See “Certain Provisions of Maryland Law and of the New NXDT Charter and New NXDT Bylaws–Control Share Acquisitions” for a description of the control share acquisition provisions of the MCGL. As permitted by the MGCL, the New NXDT Bylaws, attached hereto as Annex C, contain a provision opting out of the control acquisition provisions of the MGCL. This provision may be amended or eliminated at any time in the future by New NXDT’s board of directors.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
 Subtitle 8. Subtitle 8 of Title 3 of the MGCL permits a Maryland corporation with a class of equity securities registered under the Exchange Act and at least three independent directors to elect to be subject, by a provision in its charter or bylaws or a resolution of its board of directors and notwithstanding any contrary provision in the New NXDT Charter or New NXDT Bylaws, to any or all of five provisions of the MGCL which provide for certain corporate governance matters.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
 See “Certain Provisions of Maryland Law and of the New NXDT Charter and the New NXDT Bylaws.”                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |

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LIMITATION OF LIABILITY AND INDEMNIFICATION OF DIRECTORS AND OFFICERS</div>

Maryland law permits New NXDT to include in its charter a provision eliminating the liability of New NXDT’s directors and officers to its stockholders and New NXDT for money damages, except for liability resulting from (1) actual receipt of an improper benefit or profit in money, property or services or (2) active and deliberate dishonesty established by a final judgment and that is material to the cause of action.

The MGCL requires New NXDT (unless the New NXDT Charter provides otherwise, which the New NXDT Charter does not) to indemnify a director or officer who has been successful, on the merits or otherwise, in the defense of any proceeding to which he or she is made or threatened to be made a party by reason of his or her service in that capacity. The MG