AMD (AMD.US) plans to invest in software company Nutanix (NTNX.US), causing the latter’s stock price to surge 20% in after-hours trading.

According to foreign media reports, chipmaker AMD (AMD.US) plans to invest $150 million to purchase shares of software company Nutanix (NTNX.US), causing the latter’s stock price to surge over 20% in after-hours trading.

Nutanix sells software that helps enterprises manage their information technology infrastructure, including data center servers and cloud systems. The report indicates that AMD will also provide Nutanix with up to $100 million in funding to support joint collaboration projects between the two companies.