*

Price band set at 210 to 221 rupees/share

*

IPO set to open November 7, close November 11

*

IPO looks to raise about $440 mln vs $1 bln earlier

*

Pine Labs earlier aimed for $6 bln valuation

(Recasts throughout with details about IPO downsizing,

background on India's market and details from prospectus)

Nov 3 (Reuters) -

Indian fintech firm Pine Labs has set a price band of 210 to

221 rupees per share for its reduced IPO that is set to open

later this week, seeking a valuation of up to 254 billion rupees

($2.86 billion), a public filing showed on Monday.

At the upper end of the price range, the IPO will raise

about 39 billion rupees ($440 million). The company was

targeting a $1 billion IPO at a $6 billion valuation when it

filed draft papers in June, sources previously told Reuters.

Pine Labs, which provides payment solutions such as

point-of-sale terminals, competes with firms such as Paytm

and Walmart ( WMT )-owned PhonePe.

The company is

now

issuing new shares worth 20.8 billion rupees in the

offering, compared to its original plan of 26 billion rupees, an

updated prospectus showed on Saturday.

Existing investors including Peak XV, PayPal ( PYPL )

and Mastercard ( MA ) are selling up to 82.3 million shares,

versus the earlier plan of a total 147.8 million shares.

It was not immediately clear why the company trimmed the

size, but Indian regulations let companies modify their IPO size

to a certain extent after they file draft papers.

The three-day share sale will open on November 7 and

close on November 11. Pine Labs will allocate shares to anchor

investors on November 6. The shares are expected to be listed on

the Indian stock exchange on November 14. Axis Capital and

Morgan Stanley ( MS ) are among the lead managers.

IPO proceeds will fund overseas expansion, technology

investment and aid in debt reduction.

The IPO joins a wave of listings in a busy primary

market, with share sales by other tech-driven firms such as

Groww, Lenskart, and boAt.

India ranks as the third-largest IPO venue this year, with

fundraising expected to exceed 2024's record $20.5 billion amid

blockbuster listings by companies such as LG Electronics India

.

($1 = 88.74 Indian rupees)