NexPoint Strategic Opportunities Fund (NHF) announces name change to “NexPoint Diversified Real Estate Trust”, provides update on REIT conversion

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DALLAS, 28 October 2021 / PRNewswire / – The NexPoint Strategic Opportunities Fund (NYSE: NHF) (“NHF” or the “Company”) today announced that it will change its name to “NexPoint Diversified Real Estate Trust” effective November 8, 2021 To 12:01 am Eastern Time. In addition to the name change, NHF will change its ticker to “NXDT”. Its common stock will continue to trade on the New York Stock Exchange under the new symbol.

The name change is part of the Company’s ongoing conversion from a registered investment company to a diversified real estate investment trust (“REIT”).

At August 28, 2020, the shareholders approved the Company’s proposal to convert NHF into a diversified REIT. Following shareholder approval, the Company began to transition its activities and investments to those of a diversified REIT. The Company has since completed the initial repositioning of its investment portfolio sufficient to achieve REIT tax status and operates in its 2021 tax year so that it may qualify for tax as a REIT. .

In addition, management has repositioned the NHF portfolio in such a way that it considers that NHF is no longer an “investment company” under the 1940 Investment Companies Act (the “1940 Act “). This enabled the Company to file an amended request for an order from the Securities and Exchange Commission (“SEC”) declaring that the Company ceased to be an investment company (the “De-listing Order”) on September 13, 2021 which reflects the repositioned portfolio of NHF.

After reviewing the amended application, the SEC may grant the deregistration order, which would represent the final step in NHF’s business plan to convert to a Diversified REIT.

Additional information is available on the Company’s website: https://www.nexpoint.com/nexpoint/funds/nexpoint-strategic-opportunities-fund/.

About the NexPoint Strategic Opportunities Fund (NHF)
The NexPoint Strategic Opportunities Fund (NYSE: NHF) is a closed-end investment company managed by NexPoint Advisors, LP which is in the process of converting into a diversified REIT. On August 28, 2020, shareholders approved the conversion proposal and amended the Company’s fundamental investment policies and restrictions to allow the Company to continue its new business. The Company has repositioned its investment portfolio sufficiently to achieve REIT tax status and operates in its 2021 tax year so that it may qualify for tax as a REIT. The Company also repositioned its portfolio such that it no longer considers it an “investment company” under the 1940 Act and has filed an application with the SEC for a delisting order. Pending the delisting order, the Company will continue to be structured as a registered closed-end investment company.

About NexPoint Advisors, LP
NexPoint Advisors, LP is an SEC-registered investment adviser on the alternative investment platform NexPoint. The NexPoint platform is comprised of a group of investment advisors and sponsors, a broker and a suite of related investment vehicles, including public and private real estate investment trusts, tax real estate vehicles. advantageous and closed-end funds. For more information, visit www.nexpoint.com.

Risks and Disclosures
Investors should carefully consider investment objectives, risks, fees and expenses before investing. This and other information can be found in the Company’s prospectus, which can be obtained by calling 1-866-351-4440 or by visiting www.nexpoint.com/nexpoint-strategic-opportunities-fund. Please read the prospectus carefully before investing.

The shares of closed-end investment companies frequently trade at a discount to the net asset value. The price of the Company’s shares is determined by a number of factors, many of which are beyond the control of the Company. Therefore, the Company cannot predict whether its shares will trade at, below or above NAV. Past performance is no guarantee of future results.

The distribution may include a return of capital. Please refer to the distribution source on the NexPoint Advisors website for section 19 notices which provide estimated amounts and sources of the Company’s distributions, which should not be relied on for tax reporting purposes.

Although NexPoint undertakes to proceed with the conversion to a REIT, it remains subject to regulatory approval. There can be no assurance that the conversion of NHF to REIT status will improve its performance or reduce the discount to NAV. In addition, the SEC may decide not to grant the Company’s request for the De-listing Order, which would materially alter the Company’s plans for its business and investments.

In addition, these actions may adversely affect the Company’s financial condition, investment performance, results of operations, cash flows, the share price of its common shares and its ability to meet its obligations as of today. on account of debt service, if any, and to pay cash distributions to shareholders. Whether or not the Company remains a registered investment company, its common stock, like an investment in any other public company, is subject to investment risk, including the possible loss of the investment. For a discussion of certain other risks associated with the proposed conversion to a REIT, see “Implementation of the Business Change Proposal and Related Risks” in the Management Proxy Circular.

No guarantee can be given that the Company will achieve its investment objectives.

Please see additional risks and disclosures at www.nexpoint.com/nexpoint/disclosures/closed-end-fund-disclosures/

CONTACTS

Shareholder services
(866) 351-4440

Finance professionals
(833) 697-7253

Investor Relations
Jackie graham
[email protected]

Media relations
Lucy bannon
(214) 550-4572
[email protected]

SOURCE NexPoint Strategic Opportunities Fund


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