Royal Ahold Delhaize  (ADRNY) , the Dutch owner of Food Lion, shares fell sharply in Amsterdam Friday morning, as the supermarket absorbed news that Amazon (AMZN)  would lower prices at Whole Foods Market (WFM) .

Ahold Delhaize, which also owns Stop & Shop and Hannaford, is seeing pressure on margins in its U.S. division and doesn't expect any margin growth in the second half of the year.

Shares in the Dutch supermarket giant was down 4.22% in Amsterdam, changing hands at €15.77, extending a three month loss of 20.5%.

Whole Foods and Amazon, now moving ahead with their $13.7 billion merger, said Thursday, Aug, 24 that the companies will work to reduce the prices on "a selection of best-selling grocery staples" at the upscale grocer.

Shares in other supermarkets were also under pressure Friday morning. Tesco (TSCDY)  were down 1.76% in the first hour of trading Friday, changing hands at 184.15 pence. Sainbury's (JSAIY)  was down 1.25% to 234.55 pence and Morrisons (MRWSY)  lost 1.27% to 249.10.

Watch More with TheStreet:

More from Video

Activist Investing Today: Why Analysts Make Good Directors

Activist Investing Today: Why Analysts Make Good Directors

Constellation Brands COO Discusses Investing in Canopy Growth

Constellation Brands COO Discusses Investing in Canopy Growth

How to Be a Tactical Investor in the Current Market

How to Be a Tactical Investor in the Current Market

Canopy Growth CEO: Here's What the Future of Cannabis Looks Like for Investors

Canopy Growth CEO: Here's What the Future of Cannabis Looks Like for Investors

Market of the Week: Euro FX

Market of the Week: Euro FX