Short-sellers who had targeted Whole Foods Market Inc saw an already bad year get worse after the grocer’s shares soared on news that Amazon.com Inc would buy the company.
This natural and organic grocer pioneer with 456 stores is a mecca for young, high-end shoppers.
Whole Foods has posted seven straight quarterly sales declines at established stores and has been struggling to rein in prices and integrate technology in the already struggling U.S. retail industry.
Both Amazon and Whole Foods cater to younger consumers including millennials as well as the affluent.
“Amazon could bring technology to all Whole Foods locations, or it could absorb Whole Foods into AmazonFresh. Either way, it’s good for consumers like myself,” said Di Wu, a New York resident in her early 30s who is a member of Amazon’s Prime fast-shipping club and who shops at Whole Foods at least twice a week.