{"id":5457,"date":"2022-03-10T02:12:34","date_gmt":"2022-03-10T08:12:34","guid":{"rendered":"https:\/\/1reason.com\/re\/united-development-funding-iv-recommends-shareholders-reject-hedge-fund-nexpoints-thirteenth-extended-hostile-tender-offer\/5457\/"},"modified":"2022-03-10T20:12:34","modified_gmt":"2022-03-11T02:12:34","slug":"united-development-funding-iv-recommends-shareholders-reject-hedge-fund-nexpoints-thirteenth-extended-hostile-tender-offer","status":"publish","type":"post","link":"https:\/\/1reason.com\/re\/united-development-funding-iv-recommends-shareholders-reject-hedge-fund-nexpoints-thirteenth-extended-hostile-tender-offer\/5457\/","title":{"rendered":"United Development Funding IV Recommends Shareholders Reject Hedge Fund NexPoint\u2019s Thirteenth Extended Hostile Tender Offer"},"content":{"rendered":"
T<\/u><\/strong>he Trust\u2019s Board of Trustees (the \u201cBoard\u201d) believes that NexPoint\u2019s extended tender offer price of $1.10 per share represents a substantial discount to the Trust\u2019s current value, and that other factors also lead to the conclusion that shareholders should reject the Tender Offer.<\/u><\/strong> As of December 31, 2020, the Trust\u2019s book value was $13 per share, as reflected in the unaudited balance sheet as of that date included in the Trust\u2019s August 2021 letter to Trust shareholders. <\/p>\n

Shareholders should be aware that they are not required to tender any Shares to NexPoint. To reject the Tender Offer, a shareholder should simply ignore it.<\/u><\/strong> A shareholder that has already agreed to tender its Shares pursuant to the Tender Offer may withdraw any tender of shares up until February 25, 2022 (as described in the Tender Offer materials). A copy of this press release will be posted to the Trust\u2019s website at www.udfiv.com<\/a>. The Trust requests that a copy of this press release also be included with all distributions of materials relating to the Tender Offer.<\/p>\n

The Board has reviewed the terms and conditions of the thirteenth extended Tender Offer, considered other information relating to the Trust\u2019s portfolio of assets, current financial condition and future opportunities and evaluated various other factors it deemed relevant, such as its knowledge of NexPoint and its affiliates, including NexPoint Advisors, L.P., Highland Capital Management, L.P. and NexPoint\u2019s portfolio manager, James Dondero. As indicated above, the Board believes that the Tender Offer price of $1.10 per share represents a substantial discount to the Trust\u2019s current value.<\/u><\/p>\n

The Board\u2019s additional reasons for recommending that shareholders reject the Tender Offer are described further in the Trust\u2019s prior press releases recommending shareholders reject the Tender Offer, which are available at www.udfiv.com<\/a>.<\/p>\n

About United Development Funding IV<\/strong><\/p>\n

United Development Funding IV is a Maryland real estate investment trust. UDF IV was formed primarily to generate current interest income by investing in secured loans and producing profits from investments in residential real estate. Additional information about UDF IV can be found on its website at www.udfiv.com<\/a>. UDF IV may disseminate important information regarding its operations, including financial information, through social media platforms such as Twitter, Facebook and LinkedIn.<\/p>\n\n\n\n\n\n
Investor Contact:<\/strong><\/td>\nMedia Contact:<\/strong><\/td>\n<\/tr>\n
Investor Relations<\/td>\n817-835-0650<\/td>\n<\/tr>\n
1-800-859-9338<\/td>\nmediarelations@udfiv.com<\/td>\n<\/tr>\n
investorrelations@udfiv.com<\/td>\n<\/tr>\n<\/table>\n

<\/p>\n<\/p>\n

<\/div>\n","protected":false},"excerpt":{"rendered":"

\n

GRAPEVINE, Texas, Feb. 17, 2022 (GLOBE NEWSWIRE) — United Development Funding IV (\u201cUDF IV\u201d or the \u201cTrust\u201d) announced that it recommends Trust shareholders reject the thirteenth extended unsolicited tender offer made by hedge fund NexPoint Diversified Real Estate Trust (NexPoint), formerly the NexPoint Strategic Opportunities Fund, to purchase all Trust common shares (the \u201cShares\u201d) for $1.10 per share (the \u201cTender Offer\u201d).<\/p>\n<\/div>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"","sticky":false,"template":"","format":"standard","meta":[],"categories":[11],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/posts\/5457"}],"collection":[{"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/comments?post=5457"}],"version-history":[{"count":2,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/posts\/5457\/revisions"}],"predecessor-version":[{"id":5643,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/posts\/5457\/revisions\/5643"}],"wp:attachment":[{"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/media?parent=5457"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/categories?post=5457"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/1reason.com\/re\/wp-json\/wp\/v2\/tags?post=5457"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}