Mubadala Development Co. has revealed that it will be raising its stake in Carlyle Group, a U.S. - based private equity firm. And for that the Abu Dhabi's state-owned strategic investment firm, Mubadala Development Co will be putting in $500 million.

No further detail about the deal has been given by either of the parties. But it is understood that besides equity, Mubadala will also be getting a combination of convertible subordinated notes which means that the general partnership that it has with the PE firm will change.

The stake was taken by Mubadala in 2007 when Carlyle sold off 7.5 per cent of its stake in lieu of $1.35 billion cash. After that a general partnership between the two was formed.

Current partnership between the two cajoles the field of identifying and also investing in Middle East and North Africa besides forming partnerships in sectors like healthcare, aerospace and technology.

The proceeds thus made are going to be used by Carlyle for expanding its line of activities and also making more offers to its investors including other things.

For the deal, Goldman Sachs is going to work as the advisor.