Company: CCNE
Filing Date: 2025-03-05
Form Type: 424B3
Source: 0001193125-25-047258
Chunk: 173

Company: CNB FINANCIAL CORP/PA
Filing Date: 2025-03-05
Form: 424B3
Chunk 173
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 otherwise. In performing its analyses, PNC FIG Advisory made numerous assumptions with respect to industry performance, general business, economic, market and financial conditions and other matters, which are beyond the control of PNC FIG Advisory, ESSA and CNB. Any estimates contained in the analyses performed by PNC FIG Advisory are not necessarily indicative of actual values or future results, which may be significantly more or less favorable than suggested by these analyses. Additionally, estimates of the value of businesses or securities do not purport to be appraisals or to reflect the prices at which such businesses or securities might actually be sold. Accordingly, these analyses and estimates are inherently subject to substantial uncertainty. In addition, PNC FIG Advisory’s opinion was among several factors taken into consideration by the ESSA Board of Directors in making its determination to approve the merger agreement and the merger. Consequently, the analyses described below should not be viewed as determinative of the decision of the ESSA board with respect to the fairness of the exchange ratio. The type and amount of consideration payable in the merger were determined through negotiation between ESSA and CNB and the decision of ESSA to enter into the merger agreement was solely that of the ESSA Board of Directors. Selected Implied Transaction Statistics for the Merger Using financial information for ESSA as of September 30, 2024 or for the 12 months ended September 30, 2024 and the closing price of ESSA common stock on January 8, 2025, PNC FIG Advisory calculated the following implied transaction statistics for the merger based on the 0.8547x exchange ratio and CNB’s closing stock price on January 8, 2025 of $24.11:

| Transaction value / tangible book value                   |     |   96 | %  |
| Transaction value / last twelve months earnings per share |     | 11.6 | x  |
| Core deposit premium(1)                                   |     | (0.5 | %) |
| Market premium to most recent closing price               |     | 10.6 | %  |

| (1) | Calculated as follows: (implied transaction value – tangible equity) / core deposits; where core deposits                            
 are defined as: total deposits, less time deposit accounts with balances over $100,000, foreign deposits, and unclassified deposits. |

135

The following is a summary of the material financial analysis presented by PNC FIG Advisory to the ESSA Board of