Amazon to buy Whole Foods for $13.7 Billion

Not sure who saw this coming but Amazon has announced that they'll be buying the Whole Foods chain of grocery stores in a deal worth $13.7 billion dollars. In a way it's a bit ironic that the company (Amazon) that's killed numerous brick and mortar stores is now buying up brick and mortar stores, but more often that not it seems like Amazon has a pretty good plan before they make any acquisitions. Whole Foods will continue to operate as a separate unit of Amazon, but it's probably a safe bet to say that we'll see some collaboration and options for Amazon customers to order Whole Foods products online in the near future. CNN Money has the full story.

The online retail giant announced Friday that is buying organic grocery chain Whole Foods for $13.7 billion in cash. The deal values Whole Foods at $42 a share, 27% higher than where the stock was trading Thursday.

Amazon said Whole Foods stores will continue operating under that name as a separate unit of the company. Whole Foods CEO John Mackey will stay on to lead Whole Foods, which will keep its headquarters in Austin, Texas.

The deal shows Amazon's interest in moving into the business of operating traditional brick-and-mortar stores, even as many retailers that have been crippled by Amazon's growth have announced a series of store closings.