Amazon to acquire Whole Foods Market
Online retail giant Amazon is to acquire natural and organic chain Whole Foods Market as it looks to move into the bricks-and-mortar grocery sector.
The company is being bought for $42 per share in an all-cash transaction valued at approximately $13.7 billion, including Whole Foods Market’s net debt.
Amazon founder and chief executive Jeff Bozos said: “Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy.
“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.”
John Mackey, Whole Foods Market co-founder and chief executive, added: “This partnership presents an opportunity to maximize value for Whole Foods Market’s shareholders, while at the same time extending our mission and bringing the highest quality, experience, convenience and innovation to our customers.”
Whole Foods Market will continue to operate stores under the Whole Foods Market brand following the acquisition. John Mackey will remain as chief executive of the company whose headquarters will stay in Austin, Texas.
Completion of the transaction is subject to approval by Whole Foods Market’s shareholders and regulatory approvals. The parties expect to close the transaction during the second half of 2017.
