Amazon is buying Wholefoods in a $13 Billion deal

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Amazon is betting big on physical stores across the US starting with physical bookstores across the country and now Amazon is buying Wholefoods.Its a merger acquisition and Amazon paid $42 per share in an all cash deal.Wholefoods is certified natural organic grocery foods that has over $16 billion in sales and has several stores across US,UK and Canada.Amazon already has something under Amazon fresh to deliver fresh groceries within few hours across various metropolitan cities across the world.

By this acquisition Amazon also acquires Wholefoods debts.Previous reports stated that Amazon wanted to spread its physical presence across the country by starting brick and mortar shops.

“Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy” quoted Bezos for the interest in Wholefoods business.

Wholefoods will continue to operate as a different entity and Amazon can use the Wholefoods warehouses to store and distribute products for easier access to people.The whole transition process is said to be closed in the second half of 2017 seeking shareholders’ approval.We have to wait and see how this deal will turn out in the strategies of Amazon.Read the official statement here.