Company: NWFL
Filing Date: 2025-10-08
Form Type: S-4/A
Source: 0001193125-25-234244
Chunk: 142

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-10-08
Form: S-4/A
Chunk 142
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 to the effective time of the merger and will issue shares of Norwood common stock for the remaining 80% of such shares. Under the terms of the merger agreement, PB Bankshares shareholders will be given the opportunity to elect to receive for each outstanding share of PB Bankshares common stock they own:

| • |     | $19.75 in cash, without interest, which we refer to as “cash consideration”; |

| • |     | 0.7850 of a share of Norwood common stock, which we refer to as “stock consideration”; or |

| • |     | with respect to certain PB Bankshares shares owned by such shareholder, the cash consideration, and with respect 
 to all other PB Bankshares shares so owned, the stock consideration,                                             |

in each case, subject to the adjustment, election and allocation procedures specified in the merger agreement. No fractional shares of Norwood common stock will be issued in connection with the merger. Instead, Norwood will make a cash payment to each PB Bankshares shareholder who would otherwise receive a fractional share. The per share cash consideration of $19.75 is fixed. The 0.7850 exchange ratio for the stock consideration is fixed, subject to certain customary anti-dilution adjustments and a potential adjustment at Norwood’s option in certain circumstances involving a decline in Norwood’s stock price as described under “— Terminating the Merger Agreement” beginning on page 120. The per share value of the stock consideration, based upon Norwood’s closing stock price on, 2025, the most recent practicable trading day before this proxy statement/prospectus was finalized, was $per share. The market value of the stock consideration will fluctuate with the price of Norwood common stock. At the time of completion of the merger, the market value of the stock consideration could be greater or less than the value of the cash consideration due to fluctuations in the market price of Norwood common stock. Under the terms of the merger agreement, the aggregate consideration payable to PB Bankshares shareholders in the merger as of July 3, 2025 (based on an assumed price of $25.77 per share of Norwood common stock) was allocated approximately 20% in cash and 80% in Norwood common stock. The number of shares of PB Bankshares common stock to be converted into cash must equal 20% of the outstanding shares of PB Bankshares common stock. Approximately 510,463 shares of PB Bankshares common stock will be exchanged for the cash