ESSA Bancorp Inc signed a definitive agreement today for the acquisition of Franklin Security Bancorp Inc (FSB). The deal was an all-cash transaction. This was according to a report published by Yahoo Finance.

Under the terms of the merger deal, FSB stockholders will receive USD9.75 per share. This will amount to around USD15.7 million. The transaction is subject to customary closing conditions, regulatory approvals, and FSB stockholders' approval. The deal is expected to close by 2014's second quarter, the report said.

ESSA Bancorp is the holding company for ESSA Bank & Trust. The bank has assets worth USD1.37 billion. The firm also provides financial and retail services, wealth management services, and financial advisory in northeast Pennsylvania. The company has 26 community offices in the said area, the report stated.

RP Financial LC was the financial advisor to ESSA Bancorp on the deal. Luse Gorman Pomerenk & Schick PC was the legal counsel of the company. FSB sought financial advice from Ambassador Financial Group on the transacton. FSB also sought legal counsel from Elias, Matz, Tiernan & Herrick LLP, Yahoo Finance reported.