Amazon's acquisition of Whole Foods won't face any opposition from the FTC, ensuring the deal will be allowed to take place. The FTC's acting director, Bruce Hoffman, says the agency concluded an investigation of the deal and determined it won't take any action against the acquisition on anticompetitive grounds.
The FTC conducted an investigation of this proposed acquisition to determine whether it substantially lessened competition under Section 7 of the Clayton Act, or constituted an unfair method of competition under Section 5 of the FTC Act...Based on our investigation we have decided not to pursue this matter further. Of course, the FTC always has the ability to investigate anticompetitive conduct should such action be warranted.- Hoffman
With this stamp of approval from the main US regulatory body in charge of these matters, Amazon should have no trouble finishing the deal. Whole Foods' investors have also approved the plan.
Though Whole Foods is a large player in the grocery market and will be useful for Amazon's future expansions, the combined company is only going to have a 1.4% market share in the US grocery industry.
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