Publishers Weekly is reporting that “U.K. publisher Hodder & Stoughton is buying the independent, London-based, Quercus in a cash bid of £12.6 million. The price is some way below Quercus’ turnover (which was £20.4 million in 2012), but represents 144.9% of the value of the company’s shares (24.5p) at the close of business [on 24 March]. Quercus shareholders will receive 60p per Quercus share.” Quercus is the parent company of sf imprint Jo Fletcher Books.

CEO Mark Smith and Wayne Davies founded Quercus in Smith’s home in 2004. In January, Quercus announced that it expected to record poor results for fiscal 2013, and then announced that the company was up for sale.

Hacehette’s CEO Tim Hely Hutchinson said: “My colleagues at Hodder and I greatly admire what has been achieved at Quercus in a relatively short time. If our offer is successful, Quercus will become a distinct division within our company and will benefit from Hachette UK Group’s funding resources and sales reach to secure a very bright future for the Quercus Group.”Quercus Chairman David Potter said: “In today’s highly competitive and technological world, Quercus’ board believes that publishers will best fulfill their potential by being part of a larger and more diverse group. We believe that Hodder is the right home for Quercus and in particular our publishers and authors, who remain the lifeblood of our business.”

CEO Mark Smith added: “Over the last 10 years we have built Quercus into a £20m-plus revenue business, with divisions in both the UK and North America. During this time we have helped debut authors become established bestselling brand names, published the international phenomenon that is [Stieg Larsson’s] Millennium Trilogy and have built what we believe to be a world class roster of authors from across the globe. For the next phase of its development and to fulfill Quercus’ potential, we believe that Hodder and Hachette UK is the right home for Quercus.”