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UPDATE 1-Mobile games distributor iDreamSky's shares rise 27 pct in debut

* Shares open at $17.50, above IPO price of $15

Values company at about $811.3 mln at day's high

(Adds background, details)

Aug 7 (Reuters) - Shares of iDreamSky Technology Ltd , a mobile gaming company that localizes and distributes popular games such as "Fruit Ninja," "Temple Run" and "Subway Surfers" in China, rose as much as 27 percent in their trading debut.

IDreamSky's shares touched a high of $19.05 on the Nasdaq, valuing the company at about $811.3 million.

Shenzhen, Guangdong-based iDreamSky has partnered with a number of game developers such as Halfbrick Studios, Kiloo Group, Imangi Studios, Walt Disney Co and Gameloft SA to offer about 40 mobiles games in the Chinese market.

The company is backed by some of the biggest names in the Chinese technology industry.

Tencent Holdings Ltd, China's largest listed internet company, through THL A19 Ltd is the biggest shareholder with a 23 percent stake.

Chief Executive and co-founder Michael Xiangyu Chen is iDreamSky's second-largest shareholder, with a 21.2 percent stake.

Other shareholders include private equity firm Redpoint Ventures, an early investor in TiVo Inc and Netflix Inc , and Legend Holdings Ltd, the controlling stakeholder of PC maker Lenovo Group Ltd.

IDreamSky raised $115.5 million after its initial public offering of 7.7 million American Depositary shares were priced at $15 each, above the expected range of $12-$14 per share.

The company redesigns games to give them a local flavor. For instance, it added a customized payment method, Chinese-style blades and zodiac to Australian game developer Halfbrick's "Fruit Ninja".

In the game, players get points by slicing fruit flung across the screen using fingers.

IDreamSky's revenue jumped almost 13-fold to RMB 246.6 million ($40.7 million), helping the company swing to a profit in the year ended 2013.

The company reported 473 million total registered users as of the first quarter of 2014, with 98.3 million average monthly active users (MAU).

Credit Suisse, JPMorgan and Stifel were the lead underwriters for the offering.

(Reporting by Amrutha Gayathri; Editing by Saumyadeb Chakrabarty)