Updated from 9:37 a.m. to include additional details about the deal.
Walmart (WMT) has made quite the Monday morning splash.
The world's largest retailer said Monday it will acquire Jet.com for $3 billion in cash. It will also give Jet.com $300 million worth of Walmart shares, which will be paid out over time.
Jet.com founder Marc Lore -- a long-time e-commerce entrepreneur known for selling well-regarded online platform Quidsi to Amazon (AMZN) in 2010 -- and members of his executive team will get undisclosed management roles at the company, a source familiar with the situation told TheStreet. Lore is rumored to be ready to take the reins of Walmart's e-commerce operations.
The source said Walmart had "engagement" with Jet for a "while," but didn't disclose when talks between the two companies became more serious.
In Jet, said the source, Walmart recognizes an experienced management team in digital retail. Lore in particular is an expert in the space, the source said, and he could provide very valuable knowledge on e-commerce.
Walmart shares recently fell a fraction of a percentage point to $73.
Wall Street seems bullish on the potential impact of Lore, too. "Quidsi was known for its industry-leading same-day delivery and warehouse optimization, attributes Amazon likely benefited from and ones that can be valuable for Walmart," wrote Morgan Stanley analyst Simeon Gutman in a new note Monday.
Walmart expects the deal to close later this year.
"We're looking for ways to lower prices, broaden our assortment and offer the simplest, easiest shopping experience because that's what our customers want," said Doug McMillon, president and CEO of Walmart, in a statement.
McMillon added, "We believe the acquisition of Jet accelerates our progress across these priorities. Walmart.com will grow faster, the seamless shopping experience we're pursuing will happen quicker, and we'll enable the Jet brand to be even more successful in a shorter period of time. Our customers will win. It's another jolt of entrepreneurial spirit being injected into Walmart."
According to the source, Walmart is particularly keen on Jet's "smart cart" technology. The technology recommends savings opportunities to customers such as increasing item quantities, buying items that ship from the same location, waiving returns and using a low-fee payment method.
