Marcha 20, 2018

Amazon's deal to buy Whole Foods hits shares in US retailers

17 Junio 2017, 01:05 | Benedicto Grullon

Completion of Amazon's purchase is subject to approval by Whole Foods' shareholders, regulatory OKs and other closing conditions. Whole Foods is known to attract high-income shoppers, who can afford to dole out cash on over-expensive foods and this was the center of all the jokes on Twitter.

Last year, it opened Amazon Go, a checkout-free grocery store in Seattle, where customers are charged on their Amazon accounts for the products they leave the store with without ever having to see a cashier or self-checkout system.

He imagines Amazon will use the Whole Foods acquisition to drive food and convenience spending traffic online, either through delivery or click-and-collect type services.

Amazon announced Friday that it will pay $42 a share for Whole Foods, which was founded in 1978 in Austin, Texas, and is still based there.

Amazon's announcement of buying Whole Foods on Friday could eventually change the grocery industry. Amazon would be able to sell Whole Foods prepackaged meals, which make up about 20 percent of Whole Food's sales now, Stone says.

These early forays into groceries provide clues for what consumers could expect from a combined Amazon and Whole Foods, a deal expected to close later this year. Whole Foods' competitors will have to adopt their own AI run systems or find themselves priced out of the market.

In the month of May, Whole Foods had replaced five board members after pressure was mounting from Jana Partners. Both companies said there will be no layoffs, but did not respond to other questions about Amazon's plans for Whole Foods.

Amazon has been exploring different business ventures as of late.

Amazon (AMZN) stock also jumped 2.44 percent to $987.71 on Friday on traded volume of 11.47 million shares versus average volume of 3.74 million shares.

The move marks Amazon's commitment to dive further into the grocery market.

Under the deal, Whole Foods will continue to operate stores under its independent brand and the company's CEO and founder, John Mackey will remain in his position.

JPMorgan analyst Doug Anmuth believes that the buyout would allow Amazon to be more innovative in delivering the customer buying experience in Whole Foods stores.

Contrast the grocery carnage on Wall Street with the extreme optimism around Amazon.

Otras noticias

Tendencias Ahora

Warriors haven't made White House visit decision
"That's a realistic thing to say though, right?" He would be the first player to do so in history. All-Stars that season: Cousy, Russell, Sam Jones, Heinsohn, coach Red Auerbach.

Trump Steps Up Attacks on Russia Probe's Leaders
The tweet marked the first public, official confirmation that the president is under investigation for firing Comey in May. The White House confirmed Mr Mueller was among the candidates the president interviewed to replace Mr Comey .

Ronaldo wants to quit Real Madrid
The Madrid state prosecutor says that he hid money in offshore accounts to hide percentages of his income from the tax office. He has a release clause of 1 Billion Euros even though it is nearly impossible for any club to pay such an amount for him.

Nintendo 'Recognises There's An Appetite' For Virtual Console On Switch
Talking to Eurogamer , Jim Ryan Global Sales and Marketing Head for Playstation has something say about the competition. We'll sell more S's than X's, because the price point is important to a lot of people.

Portugal hoping Ronaldo can continue his good form in Russia
Joachim Low has rested a number of his big name players, with the likes of Mesut Ozil, Toni Kroos and Thomas Muller not selected. If the team can handle the pressure of hosting, it has the chance to start off on the right foot against the Oceania champions.

London fire: England councils order urgent housing review
This has led to questions over whether a major refurbishment of the building a year ago could have encouraged the fire to spread. Protesters gained access to Kensington Town Hall on Friday to demand the local authority answer questions on the disaster.

US lawmaker, 3 others shot in Virginia; gunman killed
Every year, with a few interruptions, Senate and House members of each party solidify friendships off the floor and on the field. Trump , who visited Scalise at the hospital on Wednesday, said Scalise was "in some trouble but he's going to be okay, we hope".

'Witch Hunt': Trump confirms he is being investigated over Comey firing
However, Trump later told NBC News' Lester Holt that he had already chose to fire Comey before that memo was written. Trump later asserted that he had already made the decision himself to fire Comey before Rosenstein's memo.

Cuba slams Trump's reversal of newfound friendship
Trump's directive Friday requests that the Treasury and Commerce departments begin issuing new regulations within 30 days. Jesse Ventura visited Cuba in 2002, Minnesota's agricultural exports to the Caribbean nation were at an all time high.

Cavaliers, Warriors deliver most-watched NBA Finals since 1998
And as Durant mentioned, the Jazz operated smoothly and ran their plays to completion, despite finding themselves in a deficit. But during this finals series I've found myself supporting any team that came up against the highly-fancied Warriors.