Company: NWFL
Filing Date: 2025-10-28
Form Type: 424B3
Source: 0001193125-25-252482
Chunk: 132

Company: NORWOOD FINANCIAL CORP
Filing Date: 2025-10-28
Form: 424B3
Chunk 132
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 converted into the right to receive 0.7850 shares of Norwood common stock or $19.75 in cash, subject to the conditions that, in the aggregate, 80% of the transaction consideration will be paid in the form of Norwood common stock and that the holder of each outstanding option to acquire PB Bankshares’s common stock will have the right to receive cash based on the difference between $19.75 and the exercise price of such option. Based on the closing price of Norwood’s 85

common stock of $26.65 per share as of July 3, 2025, the aggregate value of the transaction consideration is approximately $54.9 million. Based upon the unaudited financial information of PB Bankshares as of and for the twelve months ended March 31, 2025, and market data as of July 3, 2025, Stephens calculated the following transaction multiples:

| Transaction Value / Reported Tangible Book Value (at March 31, 2025)          |     | 1.07 | x |
|:------------------------------------------------------------------------------|:----|-----:|:--|
| Transaction Value / Most Recent Quarter Annualized (“MRQA”) Core Earnings (1) |     | 27.3 | x |
| Transaction Value / Last-Twelve-Months (“LTM”) Core Earnings (1)              |     | 36.1 | x |
| Transaction Value / 2025 Estimated Earnings (2)                               |     | 21.9 | x |
| Transaction Value / 2026 Estimated Earnings (2)                               |     | 15.8 | x |
| Core Deposit Premium (3)                                                      |     |  2.3 | % |

| Source: S&P Global Market Intelligence, Management Guidance. |

| (1) | Note: The most recent quarter annualized,                                                                                                                                        
 year-to-date annualized, and last-twelve-months earnings of Presence are based on the most recent available financial statements prior to announcement. Core Earnings is         
 net income after taxes and before extraordinary items, less gain on the sale of available for sale securities, nonrecurring provision expense, and normalized provision expense. |

| (2) | Note: Estimated 2025 and 2026 net income provided by and approved for use by Presence management. |

| (3) | Note: Core deposit premium calculated using tangible common equity and deposits less time deposits 
 > $100,000.                                                                                        |

Relevant