Company: CCNE
Filing Date: 2025-03-05
Form Type: 424B3
Source: 0001193125-25-047258
Chunk: 141

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-03-05
Form: 424B3
Chunk 141
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 applicable to ESSA expired.

In March 2024, ESSA received a non-binding letter of intent from a regional bank holding company (“Company B”) that proposed an all stock merger
transaction. Based on the closing market price of Company B’s common stock on the date of the letter of intent, the exchange ratio range proposed by Company B had a value of between $21.03 and $21.33 per share. Company B and ESSA had previously
entered into a mutual confidentiality agreement, which also included certain standstill provisions (in effect for 18 months) prohibiting Company B company from proposing or seeking to acquire ESSA other than through the indication of interest
process, which prohibitions terminated once ESSA entered into an agreement to be acquired by a third party. At the end of April 2024, Company B withdrew its indication of interest, as it was pursuing an alternative acquisition opportunity. The
mutual confidentiality agreement with Company B, together with its standstill provisions, expired at or around this time.

In accordance with directives
from ESSA, ESSA’s financial advisor, PNC FIG Advisory, contacted Michael Peduzzi, President and Chief Executive Officer of CNB, in late July or early August 2024 to solicit CNB’s interest in considering a possible business combination with
ESSA. Mr. Peduzzi indicated that there could be interest and suggested that Mr. Olson, President and Chief Executive Officer of ESSA, contact him directly by phone. Messrs. Olson and Peduzzi had known each other for many years based on
their involvement in the Pennsylvania banking industry. In the first week of August 2024, Mr. Olson telephoned Mr. Peduzzi, and informed him that ESSA was looking for a strategic partner and would consider a business combination with CNB.
During the call, Mr. Peduzzi indicated that CNB would be willing to explore a possible transaction with ESSA and would engage Stephens Inc. (“Stephens”) as a financial advisor to CNB. Messrs. Olson and Peduzzi agreed that the next
step would be for the parties to enter into a non-disclosure agreement to allow for further discussion. After the call, Mr. Peduzzi briefed CNB Chairperson Jeffrey Powell on his discussion with Mr. Olson, including CNB’s engagement of
Stephens as a financial adviser. ESSA and CNB entered into a mutual confidentiality agreement dated as of August 13, 2024.