Walmart and Symbotic announced a deal Tuesday that would find the Massachusetts robotics firm taking control of the mega-retailer’s automation business.

AI tech company Symbotic has agreed to acquire Walmart’s Advanced Systems and Robotics division for $200m in cash. Symbotic will construct and implement an advanced solution powered by its AI and robotics platform.

Walmart selects Symbotic to develop a solution to automate the retailer’s accelerated pickup and delivery centers.

Technology company Symbotic has struck a deal to expand its partnership with Walmart, taking on a $520 million program to develop an automated delivery platform for Walmart stores while also agreeing to buy the retail giant’s advanced systems and robotics business.

Symbotic Inc. (NASDAQ:SYM) shares traded higher premarkets on Thursday after the company disclosed a deal to acquire Walmart Inc.‘s (NYSE:WMT) Advanced Systems and Robotics business. The acquisition’s total consideration is $200 million in cash and Symbotic will pay Walmart up to $350 million in additional contingent consideration in future periods dependent upon the quantity of APD systems ordered.

Symbotic's shares jumped about 14% on Thursday after the automation firm said it would buy Walmart's robotics business for $200 million as part of an agreement to expand the retailer's automated supply chain.

Walmart has agreed to sell its robotics business to Massachusetts-based Symbotic for $200 million at closing with additional future contingency payments. Walmart is also paying Symbotic $520 million for

Mass. firm had previously built automation for Walmart warehouses, and will now make micro-fulfillment centers for its retail stores, too.

Symbotic surged on Thursday after saying it has agreed to buy Walmart’s Advanced Systems and Robotics business for $200m.