Chinese online gaming firm Changyou.com priced its $120 million NASDAQ initial public offering at the top of its indicated range on healthy investor demand - a rare sign of life in a long-moribund market for new issuance.

Changyou.com, which is being spun off by Chinese Internet portal Sohu.com, is the first company to make an initial public offering on NASDAQ since November.

Changyou.com developed the popular multi-player online role-playing game Tian Long Ba Bu and also operates the game Blade Online under license.