Form 4: Orrstown Financial Services Director Acquires Shares in Merger with Codorus Valley Bancorp

Director Sarah M Brown acquired 8,154 shares of Orrstown Financial Services, Inc. common stock following the merger with Codorus Valley Bancorp, Inc.

Summary

• On July 1, 2024, Codorus Valley Bancorp, Inc. merged with Orrstown Financial Services, Inc.
• As a result of the merger, Sarah M Brown, a director, acquired 8,154 shares of Orrstown Financial Services, Inc. common stock.
• Each share of Codorus Valley Bancorp, Inc. common stock was converted into the right to receive 0.875 shares of Orrstown Financial Services, Inc. common stock.
• Cash was paid in lieu of fractional shares at $25.40 per share.
• The closing price of Orrstown Financial Services, Inc. common stock on June 28, 2024, was $27.36 per share.

Sentiment

Score: 7

Explanation: The document describes a completed merger, which is generally viewed positively as it represents a strategic move for the companies involved. The sentiment is neutral to positive.

Positives

• The merger between Codorus Valley Bancorp, Inc. and Orrstown Financial Services, Inc. has been completed.

Industry Context

The merger reflects a trend of consolidation in the banking industry, where smaller institutions combine to achieve greater scale and efficiency.

Comparison to Industry Standards

• Mergers between regional banks are common, with exchange ratios and cash considerations varying based on market conditions and the relative valuations of the merging entities.
• Comparable transactions would include other mergers of community banks in the Pennsylvania region.

Stakeholder Impact

• Shareholders of Codorus Valley Bancorp received shares of Orrstown Financial Services and cash for fractional shares.
• The merger may lead to operational efficiencies and expanded services for customers.

Key Dates