Bookseller Barnes & Noble announced that it has purchased the e-book retailer Fictionwise for $15.7 million in cash today.

The major e-book company operates two websites, Fictionwise.com and eReader.com, and both will remain functioning after the sale. According to Fictionwise, founders Steve Pendergrast and Scott Pendergrast will continue to operate the e-book retailer as a separate unit under the Barnes & Noble umbrella.

Here's more from the official release: "Barnes & Noble said it plans to use Fictionwise as part of its overall digital strategy, which includes the launch of an e-Bookstore later this year. In addition to the closing purchase price, Fictionwise may receive earn out payments for achieving certain performance targets over the next two years." (Via TeleRead)