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CEO Doug McMillon given a ‘blank check’ to defeat Amazon, Cramer says

Jim Cramer said Monday that Wal-Mart CEO Doug McMillon was given a "blank check" to defeat Amazon, which resulted in the purchase of Jet.com.

The world's largest retailer agreed Monday to buy the online shopping site Jet.com for about $3.3 billion.

The online retailer site has been in operation for more than a year, and has reached $1 billion in run-rate gross merchandise value. It also has a growing customer base of urban and millennial customers.

The deal might help strengthen growth in Wal-Mart's online business. Wal-Mart has seen slow growth online and trails far behind Amazon as the second-largest online retailer.

"When you have a blank check this is what you put on it … you put $3 billion to Jet.com," Cramer told CNBC's "Squawk on the Street." "And the [Walton] family won't [ask] any questions, cause the family said, this Amazon ... you have to take them on."

The Walton family, the kin of the founders of Wal-Mart, holds a collective majority of the stock.

"Wal-Mart was the 'sleeping giant,'" Cramer said, "and they're awake."

Wal-Mart said the deal is expected to close this year, subject to regulatory approval.

Both Wal-Mart and Amazon shares were trading slightly lower Monday.