Mr. Sean Morrison reports

DIVERSIFIED ROYALTY CORP. ANNOUNCES CLARIFICATION TO Q4 2021 MD&A

Diversified Royalty Corp. has made a clarification to the relevant comparative period for certain SSSG (same-store sales growth) figures for the Mr. Lube Canada Limited Partnership locations in the Mr. Lube royalty pool originally reported in Diversified Royalty's management discussion and analysis (MD&A) for the three months and year ended Dec. 31, 2021, dated and filed on SEDAR on March 10, 2022.

In the MD&A, it was inadvertently stated that Mr. Lube reported to Diversified Royalty that Mr. Lube generated SSSG for the Mr. Lube stores in the Mr. Lube royalty pool of 21.5 per cent and 10.4 per cent for the three months and year ended Dec. 31, 2021, compared with the three months and year ended Dec. 31, 2020, respectively, when such SSSG figures actually reflected the comparative performance of the Mr. Lube stores in the Mr. Lube royalty pool to the three months and year ended Dec. 31, 2019.

As previously separately stated in the MD&A, Mr. Lube reported to Diversified Royalty that Mr. Lube generated SSSG for the Mr. Lube stores in the Mr. Lube royalty pool of 20.7 per cent and 15.8 per cent for the three months and year ended Dec. 31, 2021, compared with the three months and year endede Dec. 31, 2020, respectively.

The figures were properly reported in Diversified Royalty's news releases dated Feb. 3, 2022, and March 10, 2022, without error. In addition, no other figures reported in the prior MD&A were impacted by this inadvertent error.

About Diversified Royalty Corp.

Diversified Royalty is a multiroyalty corporation, engaged in the business of acquiring top-line royalties from well-managed multilocation businesses and franchisors in North America. Diversified Royalty's objective is to acquire predictable, growing royalty streams from a diverse group of multilocation businesses and franchisors.

Diversified Royalty currently owns the Mr. Lube, Air Miles, Sutton, Mr. Mikes, Nurse Next Door and Oxford Learning Centres trademarks. Mr. Lube is the leading quick lube service business in Canada, with locations across Canada. Air Miles is Canada's largest coalition loyalty program with approximately two-thirds of Canadian households actively participating in the Air Miles program. Sutton is among the leading residential real estate brokerage franchisor businesses in Canada. Mr. Mikes currently operates casual steakhouse restaurants primarily in Western Canadian communities. Nurse Next Door is one of North America's fastest-growing home care providers with locations across Canada and the United States as well as in Australia. Oxford Learning Centres is one of Canada's leading franchised supplemental education services in Canada and the United States.

Diversified Royalty expects to increase cash flow per share by making accretive royalty purchases and through the growth of purchased royalties. Diversified Royalty expects to pay a predictable and stable dividend to shareholders and increase the dividend as cash flow per share increases allow.

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