Ms. Lorraine McLachlan recently advised DIV of her intention to step down from the Board to pursue opportunities outside the Corporation. The Board has accepted her resignation, which was effective October 26, 2021.

Paula Rogers, Chair of the Board, said, "On behalf of the Board, I want to thank Lorraine for her contributions over more than 3 years of service to the Board and wish her all the best in her future endeavors."

About Diversified Royalty Corp.

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

DIV currently owns the Mr. Lube, AIR MILES(R) , 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(R) is Canada's largest coalition loyalty program with approximately two-thirds of Canadian households actively participating in the AIR MILES(R) 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.

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

Forward Looking Statements

Certain statements contained in this news release may constitute "forward-looking information" or "financial outlook" within the meaning of applicable securities laws that involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information or financial outlook. The use of any of the words "anticipate", "continue", "estimate", "expect", "intend", "may", "will", "project", "should", "believe", "confident", "plan" and "intend" and similar expressions are intended to identify forward-looking information and financial outlook, although not all forward-looking information and financial outlook contain these identifying words. Specifically, forward-looking information and financial outlook in this news release includes, but is not limited to, statements made in relation to: the increase to DIV's monthly dividend effective November 2021; DIV remaining cautiously optimistic that its royalty partners will continue to have a meaningful recovery in their respective businesses as the economy stabilizes; the Board, in consultation with management, continuing to monitor the performance of DIV and its royalty partners, and considering further adjustments to DIV's dividend while maintaining a target annual payout ratio below 100%; the expected financial results of Mr. Lube, Nurse Next Door, Sutton, Mr. Mikes and Oxford for Q3 2021 and the amount of royalty income expected to be reported by DIV as having been generated from the AIR MILES licenses during this period; the details and expected timing of the completion separation of ADS' LoyaltyOne segment into Loyalty Ventures; ADS' belief that increased investment by LoyaltyOne amid post-pandemic recovery tailwinds creates significant upside potential for Loyalty Ventures; the details of LoyaltyOne's further investment in the AIR MILES(R) reward program and the expected impacts thereof on the AIR MILES(R) reward program; DIV's belief that the refresh of the AIR MILES(R) brand and the recent improvements to the AIR MILES(R) reward program could result in increased top-line growth at LoyaltyOne, which would be beneficial to DIV's royalty; ADS remaining optimistic on the long-term outlook for AIR MILES(R) as travel returns to steady-state levels; Oxford management being optimistic about a stronger recovery in the last quarter of 2021; Mr. Mikes' expectation that it will continue to experience a protracted recovery; DIV's expectation that Mr. Mikes may require additional royalty relief until such time as all government restrictions impacting the operation of Mr. Mikes restaurants are lifted and the business stabilizes; DIV's intention to pay monthly dividends to shareholders; and DIV's corporate objectives. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events, performance, or achievements of DIV to differ materially from those anticipated or implied by such forward-looking information and financial outlook. DIV believes that the expectations reflected in the forward-looking information and financial outlook included in this news release are reasonable but no assurance can be given that these expectations will prove to be correct. In particular, risks and uncertainties include: DIV may not increase its dividend in accordance with the currently expected timing or amounts; there may be no future increases to DIV's dividend; DIV's payout ratio may from time to time exceed 100% notwithstanding DIV's target is a payout ratio below 100%; the financial results of DIV and its royalty partners may not be consistent with the preliminary results set forth herein; DIV's royalty partners may not make their respective royalty payments to DIV, in whole or in part; DIV's royalty partners may request further royalty relief; COVID-19 may have a more significant negative impact on DIV and its royalty partners (including their respective franchisees) than currently expected and the businesses of DIV's royalty partners (and their respective franchisees) may not fully recover following the relaxation of government restrictions or post vaccinations; current improvement trends being experienced by certain of DIV's royalty partners (and their respective franchisees) may not continue and may regress; royalty partner locations that are temporarily closed may not reopen; the rates of recovery for DIV's royalty partners will be dependent upon, among other things, the availability and effectiveness of vaccines for the COVID-19 virus, government responses, rates of economic recovery, precautionary measures taken by consumers and the rate at which government restrictions will be lifted or meaningfully relaxed; the separation of ADS' LoyaltyOne segment may not be beneficial to LoyaltyOne's top-line or DIV's royalty, and could be detrimental; recent investments by LoyaltyOne in the AIR MILES(R) reward program may not achieve their intended strategic of financial impacts; AIR MILES(R) long-term performance may not be consistent with ADS' expectations; Oxford may not experience a stronger recovery in the last quarter of 2021; DIV may not be able to make monthly dividend payments to the holders of its common shares; dividends are not guaranteed and may be reduced, suspended or terminated at any time; or DIV may not achieve any of its corporate objectives. Given these uncertainties, readers are cautioned that forward-looking information and financial outlook included in this news release are not guarantees of future performance, and such forward-looking information and financial outlook should not be unduly relied upon. More information about the risks and uncertainties affecting DIV's business and the businesses of its royalty partners can be found in the "Risk Factors" section of its Annual Information Form dated March 11, 2021 and in DIV's most recently filed management's discussion and analysis, copies of which are available under DIV's profile on SEDAR at www.sedar.com.

In formulating the forward-looking information and financial outlook contained herein, management has assumed that DIV will generate sufficient cash flows from its royalties to service its debt and pay dividends to shareholders; lenders will provide any necessary waivers required in order to allow DIV to continue to pay dividends; the impacts of COVID-19 on DIV and its royalty partners (including their respective franchisees) will be consistent with DIV's expectations and the expectations of management of each of its Royalty Partners, both in extent and duration; DIV and its royalty partners (including their respective franchisees) will be able to reasonably manage the impacts of the COVID-19 pandemic on their respective businesses; vaccination programs will be successful and vaccines effective, and the expected positive impacts thereof on DIV and the businesses of its royalty partners (including their respective franchisees) will be consistent with DIV's expectations; the performance of DIV's royalty partners will be consistent with DIV's and its royalty partners' respective expectations; recent positive trends for certain of DIV's royalty partners (including their respective franchisees) will continue and not regress; recent investments by LoyaltyOne in the AIR MILES(R) reward program may not achieve their intended strategic of financial impacts; the separation of the LoyaltyOne segment into Loyalty Ventures will not have any adverse impact on the AIR MILES(R) reward program or DIV's royalty; and recent investments by LoyaltyOne in the AIR MILES(R) reward program will achieve their intended strategic of financial impacts. These assumptions, although considered reasonable by management at the time of preparation, may prove to be incorrect.