Amazon Is Buying Whole Foods In $13.7B Deal
NEW YORK (CBSNewYork/AP) -- Amazon is buying Whole Foods in a deal valued at about $13.7 billion, including debt.
Amazon.com Inc. will pay $42 per share for Whole Foods Market Inc. That marks an 18 percent premium to Whole Foods closing price on Thursday.
"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."
"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," said John Mackey, Whole Foods Market co-founder and CEO.
The deal comes a month after Whole Foods announced a board shake-up and cost-cutting plan amid falling sales.
The grocery store operator was also under pressure from activist investor Jana Partners.
Mackey will remain CEO and the company will continue to operate under the Whole Foods Market brand. Its headquarters will stay in Austin, Texas.
(© Copyright 2017 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.)
