Adani Enterprises is drawing attention as it begins the first tranche of its Qualified Institutional Placement (QIP), aiming to raise $500 million. The company plans additional fundraising rounds in the coming months to support its capital expenditure and debt repayment efforts.

The Adani Group is also targeting to raise Rs 30,000-40,000 crore from retail investors over the next 3-4 years, aiming to diversify funding sources and reduce risk. The flagship company of Gautam Adani's conglomerate launched the first phase of its QIP on October 9, with plans for a second tranche in the near future. Earlier this year in May, the board had approved total fundraising of Rs 16,600 crore (around $2 billion).

Although the base size of the current QIP is $500 million, the company may utilize a green shoe option to increase the amount based on investor demand, according to sources. However, the green shoe option remains at the company’s discretion, and they may opt to raise more funds through a separate QIP in the coming months.

The company expedited the share sale due to heightened geopolitical tensions in the Middle East, which have impacted global equity flows. Adani Enterprises is reportedly engaging with Gulf sovereign funds such as Abu Dhabi Investment Authority, Qatar Investment Authority, and GQG Partners, as per sources.

Proceeds from the QIP are intended for capital expenditures and debt repayment. Adani Enterprises, which serves as an incubator for the group's ventures in airports, mining, infrastructure, data centers, and green hydrogen, has strategic plans to strengthen its financial position.

Earlier, on May 28, the company’s board approved raising up to Rs 16,600 crore via QIP. Additionally, the Adani Group has outlined plans to raise Rs 30,000-40,000 crore from retail investors over the next few years, as reported in September.

Shares of Adani Enterprises closed slightly lower at Rs 3,152.40 on the National Stock Exchange (NSE) in the previous session. While the stock has risen 8% this year, it has underperformed compared to the Nifty’s 15% rise. Over the past year, Adani Enterprises shares have rallied 26%, keeping pace with the Nifty’s overall growth.