Company: NWFL
Filing Date: 2025-07-07
Form Type: 425
Source: 0001193125-25-156258
Chunk: 140

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-07-07
Form: 425
Chunk 140
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 of $0.31 per share of common stock. This dividend reflects a yield of 3.6% based on Norwood Financial’s closing price
of $26.65 on July 3, 2025.

Holders of Presence’s common stock prior to the consummation of the merger will own approximately 14% of Norwood
Financial’s common stock outstanding immediately following the completion of the merger. The merger is expected to be approximately 10% accretive to earnings per share in 2026, while resulting in 4.2% tangible book value dilution as of the
closing date and a tangible book value earn back of 2.5 years.

The parties have agreed that two non-employee
Presence Bank board members will be joining the Norwood Financial and Wayne Bank boards, with one member joining for a term of two years and the other joining for three years. Concurrent with the entering into of the Agreement, Presence President
and CEO, Janak M. Amin, entered into an Employment Agreement and a Non-Competition and Non-Solicitation agreement with Norwood Financial and Wayne Bank. In addition,
selected Presence executives are expected to continue employment with Norwood Financial moving forward.

2

The merger is subject to the satisfaction of customary closing conditions, including receipt of customary
regulatory approvals and approval by Presence’s shareholders. It is expected that the transaction will close in either late 4 quarter of 2025 or early 1 quarter of 2026.

Janney Montgomery Scott LLC is serving as financial advisor and rendered a fairness
opinion to Norwood Financial and Jones Walker LLP, Washington, DC, and Meeks Butera & Israel PLLC are serving as Norwood Financial’s legal counsel. Stephens Inc. is serving as financial advisor and rendered a fairness opinion to
Presence and Barley Snyder LLP is serving as Presence’s legal counsel.

About Norwood Financial Corp

Norwood Financial Corp, through its subsidiary, Wayne Bank operates sixteen offices in Northeastern Pennsylvania and fourteen offices in Delaware, Sullivan,
Ontario, Otsego and Yates Counties, New York. As of March 31, 2025, Norwood Financial had total assets of $2.4 billion, loans outstanding of $1.8 billion, total deposits of $2.0 billion and total equity capital of
$221 million. The Company’s stock is traded on the Nasdaq Global Market under the symbol “NWFL”.

About PB Bankshares, Inc.

PB Bankshares, Inc. is the