DIGITAL retailing behemoth Amazon has taken a major step forward in its acquisition of US-based grocery chain Whole Foods after the supermarket’s shareholders gave the deal the green light late last month, approving a transaction worth $13.7bn (£10.7bn).
The prospect of a successful merger was further bolstered by the US Federal Trade Commission when, on the same day the sale was approved by shareholders, the regulator made the decision not to further pursue an investigation into the acquisition.
The deal will see Amazon gain control of a retail estate of around 460 Whole Foods stores, including nine in the UK where it has operated since 2004.
Daniel Domberger, a partner at markets and acquisition firm Livingstone said that the “real story here” is not the takeover approval, but the overarching trend of delivery companies aligning themselves with grocery firms.
“This is already trending in the US, as we are seeing with large supermarkets Kroger and Aldi teaming up with Instacart to offer home delivery services. Further expansion of this nature in the grocery space will be transformative for the industry,” he said.
