The investment arm of the Abu Dhabi government, Mubadala Development, announced on Friday it has purchased an 8.1 percent stake in the world's second largest chipmaker, AMD. The deal, which includes a $622 million cash infusion for AMD in exchange for about 49 million company shares, makes Abu Dhabi one of the company's largest shareholders.

According to the Wall Street Journal, Mubadala will not gain any special access to the boardroom as a part of the deal, and the company itself stressed that the transaction does not present a controlling investment…or an acquisition. That said, Mubadala seems to be increasingly interested in partnering with (and investing in) a variety of tech companies across the globe as of late.

Flush with oil money, the company recently announced a partnership with Northrop Grumman to develop aerospace and aviation training programs earlier this week. The company also happens to have a 7.5 percent stake in the Carlyle Group, a private equity firm specializing in aerospace, defense and high-tech investments.

Indeed, the $622 million comes just in time for AMD, which has struggled financially over the past few quarters due to an going price slashing contest with its larger rival Intel. Most recently, in Q3, the company posted a $396 million loss despite an uptick in sales.

AMD chief Hector Ruiz says the company will use the money primarily on future research and development, (AMD relies heavily on an IBM partnership for its R&D), as well as product innovations and manufacturing improvements. As we recently noted, Intel spent more on research and development last year ($5.87 billion) than AMD's entire annual revenue stream ($5.65 billion).

Photo: Abu Dhabi Investment Authority Tower

[Via WSJ]