Amazon is going for grocery domination. The company announced Friday morning that they plan to buy Whole Foods in a deal worth $13.7 billion. The deal is expected to go through in the second half of 2017.
The story is still developing but CNBC is reporting that according to a statement from Amazon, Whole Foods' CEO John Mackey will remain on as the leader of the Austin, Texas based grocery chain, and that all of its locations will continue to operate under the Whole Foods name.
"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," Mackey said in a statement.
"Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy," Amazon CEO Jeff Bezos says. "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."
Amazon has been recently pushing into the grocery business, both with its PrimeFresh delivery and its private label brand, AmazonBasics, getting into the gourmet food game.
We'll have to wait and see how the acquisition changes things for either brand.