Amazon to acquire Whole Foods
SEATTLE — In a blockbuster deal, online giant Amazon is acquiring Whole Foods Market in an all-cash transaction valued at $13.7 billion, or $42 a share.
John Mackey, co-founder and CEO of Whole Foods, will remain CEO of the grocer after the deal closes. Stores will continue to operate under the Whole Foods banner, and the company's headquarters will remain in Austin, Texas.
“This partnership presents an opportunity to maximize value for Whole Foods Market’s shareholders, while at the same time extending our mission and bringing the highest quality, experience, convenience and innovation to our customers,” said Mackey.
The transaction is subject to approval by Whole Foods Market's shareholders, regulatory approvals and other customary closing conditions. The parties expect to close the transaction during the second half of 2017.
Whole Foods has been under increased pressure from investors Jana Partners hedge fund and money management firm Neuberger Berman, who have criticized the chain for its slumping sales.
“Millions of people love Whole Foods Market because they offer the best natural and organic foods, and they make it fun to eat healthy,” said Jeff Bezos, Amazon founder and CEO. “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.”
This is a developing story. Check back later for more details.
Coty’s Macchio set to retire after 25 years
NEW YORK — The mind behind Sally Hansen Miracle Gel and various other Coty products is retiring. Coty on Wednesday announced the departure of chief scientific officer Ralph Macchio, who has been with the company for 25 years and is set to depart on June 30.
Ralph has been an amazing R&D leader in the beauty industry and retires after a truly distinguished career,” Coty CEO Camillo Pane said. “He has developed many iconic products over the years, pioneered radical and breakthrough technologies and authored numerous patents. These include our highly successful Sally Hansen Miracle Gel, one of the biggest nail successes in beauty, having won 34 awards, and Rimmel Lash Accelerator Mascara, proven to help grow lashes, to name just two.”
Coty said that Macchio’s retirement had been planned for a couple years, but that he had agreed to postpone it until after the company’s merger and integration with Procter and Gamble’s beauty business. After his departure, the research and development department team will report to Pane.
“My many thanks, and those of our Board and Executive Committee members, and all his colleagues at Coty go to Ralph for his leadership, commitment, drive and passion for our business, and for the expertise he has brought. We wish him a great retirement,” Pane said.
DSNTV: Highlights from the third annual New General Market Summit
At the Drug Store News/Mack Elevation New General Market Summit, Mack Elevation managing director Dan Mack told attendees, “The New General Market is a mindset — it’s not defined by demography or skin color or religion or sex or sexual orientation — it’s driven by a mindset of inclusion.”
So DSN and Mack brought together industry leaders for the third annual New General Market Summit — held April 4 in Minneapolis — to discuss how leading brands are able to keep in touch with the mindset that informs the New General Market consumer.
Above is a collection of highlights from the event to accompany the June issue of Drug Store News, which features an in-depth special report about the big ideas and best practices that emerged from the event
To read the full report, click here.