Alex Eule and Andrew Bary:
On paper, it’s just a midsize merger. If Amazon.com’s $13.7 billion deal for Whole Foods Market goes through unchanged, it will rank as the No. 4 U.S. retail deal, according to Thomson Reuters, behind an uninspiring list that includes Supervalu-Albertsons, Walgreens-Rite-Aid, and Kmart-Sears.
But Wall Street wasn’t thinking much about dollars and cents on Friday. Instead, Amazon’s surprising Whole Foods acquisition had investors doing a rapid assessment of retail’s future. Shares of companies seen as suddenly more vulnerable to the Amazon juggernaut got hammered.
Also, let's not forget: Whole Foods did $15.7B in sales last year...Read more...