An Indian firm has scaled down its initial public offering that opened on Thursday, citing market conditions a day before a $1.8 billion issue by the Indian venture of Dubai's Emaar Properties.

Healthcare services company Wockhardt Hospitals Ltd, which planned to raise up to 7.78 billion rupees ($197.5 million), has reduced its offer price and now aims to raise $165.6 million at the upper end of the price band.

"Wockhardt Hospitals Ltd... has, in light of current market conditions, revised the price band to 225-260 rupees per equity share," the company said in a brief statement late on Wednesday.

Company officials declined further comment and lead managers Citigroup and Kotak Investment Banking were not immediately available for comment.

Citigroup and Kotak are also among the bankers advising Emaar MGF, which opens its IPO on Friday.

Earlier this month, Reliance Power, a unit of India's Anil Dhirubhai Ambani Group, raised a record $3 billion from its IPO but the subsequent volatility in the market has heightened investor anxiety.

The Bombay Stock Exchange's benchmark index has lost nearly 14 percent this year and is more than 17 percent below its record high of 21,206.77 hit on January 10.

Indian companies are expected to raise up to $15.8 billion from new listings this year, almost twice as much as last year's record $8.3 billion, according to Thomson Financial data.

KK Mital, fund manager at Escorts Asset Management, said many IPOs had been priced aggressively.

"But now, keeping in view the current conditions, one thing is sure that the pricing must justify the reality and cannot only be based on future earnings growth potential," he said. - Retuers