Mr. Sean Morrison reports

DIVERSIFIED ROYALTY CORP. ANNOUNCES CLOSING OF $54.0 MILLION BOUGHT DEAL PUBLIC OFFERING OF COMMON SHARES

Diversified Royalty Corp. has closed its previously announced bought deal public offering of 20,320,500 common shares from treasury of the corporation, including 2,650,500 common shares issued pursuant to the full exercise of the overallotment option, at a price of $2.66 per common share for total gross proceeds of approximately $54-million. The offering is fully described in the corporation's prospectus supplement dated Feb. 16, 2024, to the corporation's short-form base shelf prospectus dated June 19, 2023, copies of each of which are available under Diversified's profile on SEDAR+.

The offering was conducted by a syndicate of underwriters led by CIBC Capital Markets, that included Cormark Securities Inc., Canaccord Genuity Corp., PI Financial Corp., Raymond James Ltd., BMO Nesbitt Burns Inc. and Scotia Capital Inc.

As described in the prospectus supplement, Diversified intends to use the net proceeds of the offering to repay outstanding amounts under Diversified's acquisition facility following Diversified's acquisition, on Oct. 4, 2023, of trademarks and certain other intellectual property used by BarBurrito Restaurants Inc. in Canada in its business of franchising, licensing and operating quick service Mexican restaurants. Any proceeds remaining after the repayment in full of Diversified's acquisition facility will be used for working capital and general corporate purposes.

About Diversified Royalty Corp.

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

We seek Safe Harbor.