Amazon will buy Whole Foods Market in a deal valued at about $13.7 billion, the online retail giant announced Friday, making its biggest move to date into brick-and-mortar retailing.
Amazon, which has been operating a grocery delivery since 2007, will acquire Whole Foods for $42 per share in an all-cash transaction, it said in a statement.
“Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy,” Amazon Founder and CEO Jeff Bezos said in the statement. “Whole Foods Market has been satisfying, delighting and nourishing customers for nearly four decades – they’re doing an amazing job and we want that to continue.”
Under the deal, Whole Foods will continue to operate stores under the Whole Foods brand, and its CEO John Mackey will retain his position, Amazon said.
Amazon had considered taking over Whole Foods last fall, Fortune previously reported. Whole Foods has seen its shares fall by half since 2013.