Recent Ruling Against James Dondero, NexPoint’s Founder, Affirms Ruling that Dondero Defaulted on Promissory Notes
Board of Trustees Urges Shareholders Vote FOR Its Highly Qualified Trustee Nominees on the WHITE Proxy Card
IRVING, Texas, Oct. 10, 2024 (GLOBE NEWSWIRE) — United Development Funding IV (“UDF IV” or the “Trust”) mailed a letter to shareholders raising concerns about the motives of James Dondero, the founder of NexPoint Real Estate Opportunities, LLC, an indirect subsidiary of NexPoint Diversified Real Estate Trust (NXDT), and its affiliates (collectively, “NexPoint”) and his affiliates in seeking to take control of the Trust’s Board of Trustees.
Shareholders are encouraged to read the full letter highlighting the recent ruling against Dondero and his affiliates, which builds on a long history of rulings by a variety of courts, arbitration panels, and administrative tribunals that have found Dondero and his affiliates to have breached their fiduciary duties to investors, engaged in intentional fraudulent transfers of assets, willful misconduct, and self-dealing.
The letter to shareholders and other important information regarding the Trust’s ongoing commitment to value creation and long history of cash distributions, including UDF IV’s proxy materials for the 2024 Annual Meeting of Shareholders, can be found at UDFforShareholders.com. The Trust urges shareholders to support the Board that is working to enhance the value of their investment by voting on the WHITE proxy card “FOR” the Board’s nominees – Steven J. Finkle, Lawrence S. Jones, J. Heath Malone and Phillip K. Marshall. UDF IV shareholders should discard any green or other color proxy card sent by NexPoint.
If you have any questions or require any assistance with respect to voting your shares, please contact our proxy solicitor:
INNISFREE M&A INCORPORATED
Shareholders may call:
1 (877) 750-9496 (toll-free from the U.S. and Canada) +1 (412) 232-3651 (from other countries)
About United Development Funding IV
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. UDF IV may disseminate important information regarding its operations, including financial information, through social media platforms such as Twitter, Facebook and LinkedIn.
Investor Contact:
Investor Relations
1-800-859-9338
investorrelations@umth.com
Media Contact:
Mahmoud Siddig / Lucas Pers / Dylan O’Keefe
Joele Frank, Wilkinson Brimmer Katcher
(212) 895-8668
