July 30 (Reuters) -

Billionaire Bill Ackman's Pershing Square is looking to

raise up to $2 billion in its initial public offering in the

U.S. the hedge fund said on Tuesday.

It was initially expected to bring in as much as $25 billion

in new capital, but Ackman last week said the fundraise would be

capped at $10 billion.

The hedge fund expects to sell up to 40 million shares

priced at $50 each, according to a regulatory filing.

(Reporting by Niket Nishant in Bengaluru; Editing by Shailesh

Kuber and Arun Koyyur)