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Amazon-Wholefoods Anti-Trust Murmurs Start

 1 min read / 

A Democrat Representative has asked the House Judiciary Committee to initiate antitrust hearings over the acquisition.#

Editor’s Remarks: Last month’s acquisition was hailed as transformational, with rival supermarkets and their shareholders taking fright, but now opponents are starting to fight back. Rhode Island Representative David Cicilline has questioned whether “antitrust trust laws are working effectively” as Amazon marches on to dominate retail and crush competition. Some hedge funds are talking about shorting Amazon shares in anticipation of government regulatory problems. Wholefoods only has 1.6% of the US grocery market, but it is the wider implications of the deal that could be looked at. Wholefoods shareholders are also starting to agitate – one has launched a federal lawsuit, and there are rumours of rival bids amid a general sense that Amazon’s bid price was too low for such a groundbreaking deal. The deal still needs to be voted on by shareholders.

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