Amazon Buys Whole Foods

Posted: Jun 16 2017, 9:04am CDT | by , in News | Latest Business News

 

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Amazon Buys Whole Foods
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This is big. Amazon enters the supermarket business with acquisition of Whole Foods.

Amazon and Whole Foods Market today announced that they have entered into a definitive merger agreement under which Amazon will acquire Whole Foods Market for $42 per share in an all-cash transaction valued at approximately $13.7 billion, including Whole Foods Market’s net debt.

“Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy,” said Jeff Bezos, Amazon founder and CEO. “Whole Foods Market has been satisfying, delighting and nourishing customers for nearly four decades – they’re doing an amazing job and we want that to continue.”

Whole Foods Market will continue to operate stores under the Whole Foods Market brand and source from trusted vendors and partners around the world. John Mackey will remain as CEO of Whole Foods Market and Whole Foods Market’s headquarters will stay in Austin, Texas.

Completion of the transaction is subject to approval by Whole Foods Market's shareholders, regulatory approvals and other customary closing conditions. The parties expect to close the transaction during the second half of 2017.

This big acquisition will accelerate Amazon's Fresh service and Amazon's physical store presence. The online giant has already setup a small number of stores. With this deal Amazon is moving in on Walmart from the top end in the supermarket retail business.

Founded in 1978 in Austin, Texas, Whole Foods Market is the leading natural and organic foods supermarket. In fiscal year 2016, the Company had sales of approximately $16 billion and has more than 460 stores in the United States, Canada, and the United Kingdom. Whole Foods Market employs approximately 87,000 employees. 

Get ready for Prime Day 2017 and find out everything there is to know about Amazon Prime Day 2017 in our comprehensive guide. Read also our Prime Day 2017 deal predictions. Deal hunters will be able to use our The Tracker app to get notified when announced Prime Day 2017 deals go on sale. 

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<a href="/latest_stories/all/all/2" rel="author">Luigi Lugmayr</a>
Luigi Lugmayr () is the founding chief Editor of I4U News and brings over 15 years experience in the technology field to the ever evolving and exciting world of gadgets. He started I4U News back in 2000 and evolved it into vibrant technology magazine.
Luigi can be contacted directly at ml@i4u.com.

 

 

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