Published: Mon, July 17, 2017
Business | By Max Garcia

Blue Apron shares hit as Amazon files for meal-kit trademark

Blue Apron shares hit as Amazon files for meal-kit trademark

Now that Amazon appears poised to enter the meal-kit market, Blue Apron faces a truly formidable challenge. Amazon Technologies Inc., an Amazon subsidiary, filed a July 6 trademark application for "prepared food kits composed of meat, poultry, fish, seafood, fruit and/or vegetables. ready for cooking and assembly as a meal".

The British newspaper The Times first reported the trademark application on Sunday.

While Amazon's exact plans aren't known, theoretically, every single Amazon Prime customer would already be a member of their meal-kit plan. In the wake of that bit of news, Blue Apron's stock has dropped to its lowest point ever, down more than 9%, according to CNBC.

It's just the latest Amazon-fueled hit absorbed by the flailing Blue Apron, which took a cleaver to its IPO range in the week before pricing following Amazon's $13.7 billion acquisition of Whole Foods.

Amazon rose 1.2 percent to $1,013.87 at 10:05 NY.

Investors think the meal kit delivery service Blue Apron has a very risky enemy: Amazon. The $59.94 box, with recipes such as sesame soba noodles and soy-marinated chicken thighs, includes ingredients for three meals for two people. Amazon has registered a USA trademark for what looks suspiciously like a meal-kit service with the slogan "We do the prep".

Amazon already sells other companies' meal kits, including Tyson Foods Inc.'s (TSN) Tyson Tastemakers.

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