Company: NWFL
Filing Date: 2025-07-07
Form Type: 425
Source: 0001193125-25-156258
Chunk: 3

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-07-07
Form: 425
Chunk 3
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ursuant to the terms of the Merger Agreement, on or immediately after the
effective time of the Merger, and subject only to any applicable regulatory approvals and Norwood Financial’s customary background screening and evaluation procedures for potential directors, Norwood Financial will appoint two former
non-employee directors of Presence Bank to Norwood Financial’s and Wayne Bank’s Board of Directors. In addition, the other directors of PB Bankshares will be invited to join a regional advisory board.

In connection with the Merger Agreement, the directors and executive officers (in their capacity as shareholders) of PB Bankshares have
entered into Voting Agreements pursuant to which they have agreed to vote shares of PB Bankshares common stock owned beneficially or of record by such shareholder in favor of the Merger Agreement and related matters. The foregoing description of the
Voting Agreements does not purport to be complete and is qualified entirely by reference to the full text of the Voting Agreements. The forms of these agreements are attached to the Merger Agreement and are incorporated by reference.

The Merger Agreement also contains usual and customary representations and warranties that Norwood Financial and PB Bankshares made to each
other as of specific dates. The assertions embodied in those representations and warranties were made solely for purposes of the contract between Norwood Financial and PB Bankshares, and may be subject to important qualifications and limitations
agreed to by the parties in connection with negotiating its terms. Moreover, the representations and warranties are subject to a contractual standard of materiality that may be different from what may be viewed as material to shareholders, and the
representations and warranties may have been used to allocate risk between Norwood Financial and PB Bankshares rather than establishing matters as facts.

The foregoing summary of the Merger Agreement is not complete and is qualified in its entirety by reference to the complete text of such
document, which is filed as Exhibit 2.1 to this Form 8-K and which is incorporated herein by reference in its entirety.

| Item 7.01 | Regulation FD Disclosure. |

On July 7, 2025, Norwood Financial released a presentation to investors containing additional information regarding the Merger. The presentation is included in this Report as Exhibit 99.1 and is furnished herewith, and shall not be deemed “filed” for any purpose nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.

| Item 8.01 | Other Events. |

On July 7, 2025,