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• A local Bank of America.
• Your neighborhood's Chase Bank.

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• Deposit Services: Offers a variety of checking, savings, money market, and certificate of deposit accounts for individuals and businesses.
• Residential Real Estate Lending: Provides mortgage loans for the purchase or refinancing of residential properties.
• Commercial Real Estate Lending: Offers loans for the acquisition, development, and refinancing of commercial properties.
• Commercial & Industrial Lending: Supplies loans and lines of credit to businesses for working capital, equipment purchases, and other operational needs.
• Consumer Lending: Grants personal loans, home equity loans, and other installment loans to individuals.
• Digital Banking Services: Enables customers to manage accounts, transfer funds, and pay bills conveniently through online and mobile platforms.

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Avidia Bancorp (AVBC) is a bank holding company. Its primary subsidiary, Avidia Bank, operates as a community bank. Community banks do not typically have a few "major customers" in the way a manufacturing or technology company might. Instead, they serve a broad base of individuals and businesses within their geographic footprint.

Avidia Bancorp sells its financial products and services to both individuals and businesses. Given its nature as a community bank, it does not sell primarily to other large, identifiable public or private companies. Its customer base is highly diversified.

The company serves the following categories of customers:

1. Individual Consumers: This category includes individuals seeking personal banking services such as checking accounts, savings accounts, certificates of deposit, consumer loans (e.g., auto loans, personal loans), and residential mortgages for home purchases or refinancing.

2. Small to Medium-Sized Businesses: This segment comprises local and regional businesses that utilize commercial loans, lines of credit, business checking and savings accounts, treasury management services, and commercial real estate financing for owner-occupied properties.

3. Commercial Real Estate Investors and Developers: This category includes individuals and entities that borrow for the acquisition, development, construction, or refinancing of income-producing properties, such as multi-family residential, office, retail, and industrial properties.

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Fiserv, Inc. (FISV)

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Robert D. Cozzone, President and Chief Executive Officer

Mr. Cozzone has served as President and Chief Executive Officer of Assabet Valley Bancorp and Avidia Bank since March 2023. He has been employed in banking throughout his professional career. From April 2019 to March 2023, he was Executive Vice President and Chief Operating Officer of Independent Bank Corp. and its bank subsidiary, Rockland Trust Company, where his responsibilities included mergers and acquisitions strategy, consumer banking, and investor relations. Before that, he served as Chief Financial Officer of Rockland Trust from 2013-2019. He also served for 9 years as Treasurer of Independent Bank Corp., where his duties included interest rate risk management, liquidity management, capital planning, mergers and acquisitions, shareholder relations, investments, and strategic planning. Mr. Cozzone played an integral part in Rockland Trust's numerous mergers and acquisitions over two decades.

Jonathan Nelson, Executive Vice President and Chief Financial Officer

Mr. Nelson has served as Executive Vice President and Chief Financial Officer since October 2024. Prior to joining Avidia Bank, he served for 9 years as Treasurer of Independent Bank Corp. and its bank subsidiary, Rockland Trust Company. His responsibilities as Treasurer included interest rate risk management, liquidity management, capital planning, mergers and acquisitions, shareholder relations, investments, derivatives, and strategic planning.

Bartholomew H. Murphy, Jr., Executive Vice President and Chief Operating Officer

Mr. Murphy has been employed with Avidia Bank since January 1992 and has served as Executive Vice President and Chief Operating Officer since 2021. From 1992 to 2010, he held various lending and commercial banking management positions, and from 2010 to 2021, he served as Executive Vice President and Chief Lending Officer.

Robert W. Conery, Executive Vice President and Chief Operations Officer

Mr. Conery has been employed with Avidia Bank for 35 years. In November 2000, he was appointed Executive Vice President and Chief Operations Officer, with responsibilities for overseeing Operational Support and Information Technology.

Donald J. Frost III, Executive Vice President – Consumer Banking

Mr. Frost has been employed with Avidia Bank since May 2011. He has served as Executive Vice President – Consumer Banking since January 2021.

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The key risks to Avidia Bancorp's (AVBC) business are primarily related to its concentrated loan portfolio and geographic focus, ongoing profitability challenges, and sensitivity to interest rate fluctuations and general economic conditions.

The most significant risk stems from the company's **geographic and loan concentration**. Avidia Bancorp is heavily invested in lending to borrowers within Massachusetts, with a substantial portion of its commercial and industrial (C&I) loans directed towards condominium associations and dental practices. This niche and geographically concentrated loan portfolio exposes the bank to significant risk, as demonstrated by a hefty loss of approximately $12 million in the first quarter of 2025 due to a $16.7 million charge-off tied to a single $25 million land loan.

Secondly, **persistent profitability concerns** pose a considerable risk. The company has experienced accelerating losses, averaging 43.1% annually over the past five years, with no reported improvement in its net profit margin in the last year. While there were profits in 2023 and 2024, the significant loss in Q1 2025 raises doubts about full-year profitability, underscoring the volatility in its financial performance.

Finally, as a financial institution, Avidia Bancorp is highly susceptible to **interest rate volatility and changes in general business and economic conditions**. Fluctuations in market interest rates, real estate values, and broader economic downturns can adversely affect borrowers' ability to repay loans, impact the value of the bank's securities and other assets, and lead to reductions in net interest income.

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• The emergence and growth of digital-first banks (neobanks) and fintech platforms that offer superior digital user experiences, lower fees, and competitive interest rates on deposits. These companies directly compete for Avidia Bancorp's core deposit base and basic banking services, especially among younger, digitally-savvy demographics who prioritize convenience and technology over physical branches.
• The increasing market share of specialized fintech lenders in areas such as mortgages, personal loans, and small business loans. These platforms leverage technology to streamline the lending process, offering faster approvals and more convenient application experiences, thereby siphoning off traditional lending opportunities from community banks like Avidia Bancorp.
• The expansion of large technology companies (e.g., Apple, Google, Amazon) into financial services. While not traditional banks, their offerings in payments, consumer credit (e.g., Apple Card, Apple Pay Later), and other financial products leverage their massive user bases and technological capabilities to capture customer transactions and relationships that were historically maintained by incumbent banks.

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Avidia Bancorp (AVBC) is a community bank headquartered in Hudson, Massachusetts, primarily serving western Middlesex County and eastern Worcester County in Massachusetts. Its main products and services include personal and business banking (checking, savings, credit cards), mortgages (residential and home equity), and commercial loans.

The addressable markets for Avidia Bancorp's main products and services are as follows:

• Community Banking (Deposits): The total deposits held at community bank branches in Massachusetts were approximately $160.45 billion as of December 13, 2024.
• Residential Mortgages: The volume of single-family mortgages in Massachusetts was $25.48 billion in 2022. Additionally, non-purchase residential mortgages, which include home equity loans, totaled $45.6 billion in Massachusetts in 2022.
• Commercial Lending: The commercial banking industry market size in Massachusetts is projected to be $34.3 billion in 2025. Furthermore, the total commercial loans portfolio for Massachusetts banks amounted to $131.7 billion in the third quarter of 2024.

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1. Net Interest Income Expansion through Net Interest Margin Improvement and Loan Growth: Avidia Bancorp has demonstrated recent improvements in its net interest margin (NIM), with the NIM expanding to 3.19% in Q2 2025 and further to 3.43% in Q3 2025. This expansion was partly due to a decrease in the cost of interest-bearing liabilities and deposits. Concurrently, the company has seen growth in its gross loans, increasing by $15.0 million in Q2 2025 to $2.25 billion and further by $26.7 million in Q3 2025 to $2.27 billion, primarily driven by commercial real estate loans. Continued growth in the loan portfolio, coupled with effective interest rate management, is expected to enhance net interest income.
2. Growth in Commercial Lending, including Niche Markets: The bank has experienced strong growth in commercial lending and banking. Avidia Bank has shown particular strength in niche commercial lending areas, such as loans to condominium associations and dental practices. This specialized focus within commercial and industrial (C&I) loans, which constituted 45.3% of total loans as of Q2 2025, provides a distinct avenue for continued revenue expansion.
3. Expansion of Payments Processing Business: A significant driver of non-interest income is Avidia Bancorp's growing payments processing business, which serves over 17,000 small merchants. This segment not only contributes directly to non-interest income but also acts as a source of low-cost deposits, further supporting the bank's financial position and overall revenue generation.
4. Strategic Deployment of Capital from the Initial Public Offering (IPO): Following its mutual-to-stock conversion and initial public offering (IPO) in July 2025, Avidia Bancorp saw a substantial increase in its cash and cash equivalents. The funds received from the IPO subscription offering significantly boosted deposits. The strategic deployment of this enhanced capital base into lending initiatives and other growth opportunities is anticipated to fuel future revenue growth.
5. Digital Banking and FinTech Partnerships: Avidia Bank has been actively building on its commitment to FinTech companies, aiding them with access to card networks and real-time payment capabilities to improve cash flow for businesses. This focus on digital solutions and partnerships positions the bank to attract new customers and expand its service offerings, contributing to future revenue streams.

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Share Repurchases

• Federal regulations prohibit Avidia Bancorp from repurchasing its shares of common stock during the first year following its conversion and stock offering.
• Massachusetts regulations further prohibit share repurchases for the first three years following the completion of its conversion and stock offering.

Share Issuance

• Avidia Bancorp completed its initial public offering (IPO) on July 31, 2025, selling 19,176,250 shares of common stock at $10.00 per share.
• The IPO generated approximately $191.8 million in gross proceeds.
• As part of the IPO, 1,606,100 shares were sold to Avidia Bank's Employee Stock Ownership Plan (ESOP), and 900,000 shares were contributed to the Avidia Bank Charitable Foundation, Inc.

Inbound Investments

• T. Rowe Price Investment Management reported beneficial ownership of 1,218,250 shares of Avidia Bancorp common stock, representing 6.1% of the class as of September 30, 2025.
• Other institutional investors holding significant stakes include Vanguard Group Inc., Wellington Management Group LLP, and Fj Capital Management LLC.