Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 234

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 234
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 of May 6, 2019 for general working capital purposes (the “Advance”). The Advance carried an interest rate of 2.06% per annum and matured on January 8, 2020.

On December 27, 2019, NREO, redeemed 13,370,573 Class B Units and received 13,370,573 Units as consideration (the “Redemption”). Following the Redemption, NREO distributed 13,370,573 Units as a dividend to NexPoint Strategic Opportunities Fund, an entity indirectly controlled by James Dondero. The early warning report related to the Redemption is available on the SEDAR+ website at www.sedarplus.ca.

On February 10, 2020, NHT completed a non-brokered private placement offering, pursuant to which certain existing unitholders of NHT purchased an aggregate of 850,705 Units (the “Private Placement”) for aggregate gross proceeds of $4,253,525. Certain subscribers in the Private Placement are directly or indirectly controlled by certain named executive officers, including James Dondero and Jesse Blair. A news release containing the particulars of the Private Placement is available on the SEDAR+ website at www.sedarplus.ca.

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On October 14, 2020, NHT entered into an indemnification agreement with, inter alia, the Advisor pursuant to which the Advisor or funds advised by it or its affiliates agreed to fully fund the Settlement Payments (other than the first payment, which was paid out of funds that were being held in escrow for the Condor Transaction) totaling $4,750,000 and indemnify NHT and its subsidiaries for any losses incurred in relation to the Settlement Agreement. In exchange for funding the Settlement Payments, CDOR Option Sub agreed to issue the CDOR Loans to NFRO, the entity funding the Settlement Payments.

On March 30, 2020, NHT announced that one of its subsidiaries had, between November 2020 and January 2021, issued convertible notes (the “Notes”) in the aggregate principal amount of $5.4 million to an affiliate of NHT’s Advisor for general working capital purposes. The Advisor is affiliated with certain named executive officers, including James Dondero. The Notes carry an interest rate of 2.25% per annum, and are convertible into Class B Units at the option of the noteholder in its sole discretion. Any conversion of the Notes is subject