Abu Dhabi’s sovereign wealth fund Mubadala Investment Co. has filed paperwork to sell an unregistered block of GlobalFoundries Inc. shares worth $1.91 billion. The move aims to raise cash from a private placement rather than a public offering, signaling the fund’s intent to liquidate a sizable stake in the U.S. chipmaker without triggering market volatility. The block represents roughly 5% of GlobalFoundries’ outstanding shares, a slice.

Investors watch the sale because GlobalFoundries supplies advanced semiconductors to automotive and communications firms, sectors that have seen recent supply‑chain tightening. An unregistered block trade bypasses the usual disclosure timetable, meaning the market will only learn the size of the transaction after settlement. Should the fund unload the shares quickly, price pressure could surface on the already thinly‑traded stock.

The transaction underscores how sovereign investors are rebalancing portfolios amid a volatile tech cycle. By converting a private‑equity‑style position into cash, Mubadala may redeploy capital toward growth assets or shore up liquidity for upcoming obligations. Regardless of its motive, the $1.91 billion inflow will alter GlobalFoundries’ shareholder composition and could influence future financing discussions. The cash could also fund strategic acquisitions as the chip sector consolidates.