By JURO OSAWA

TOKYO—Online game developer Nexon Co. said Monday it has set a premarket price of ¥1,300, or $16.68, per share for its initial public offering.

Shares in the company, which was founded in South Korea, will begin trading on the First Section of the Tokyo Stock Exchange on Dec. 14.

The price gives the IPO a total value of ¥97.96 billion, or $1.26 billion, making it the biggest in Japan this year.

Nexon said it will use the raised funds mainly to expand its operations by investing in its server equipment and developing new games, while it will also use the money to pay royalties for the use of content suppliers’ intellectual property.

Nexon offers free online games that make money through the sale of items such as uniforms and weapons that let players customize their game avatars.

via Nexon Sets Premarket Price for IPO – WSJ.com.