HONG KONG, Nov 23 (Reuters) - NetEase Inc"s (9999.HK) music streaming business Cloud Village Inc is aiming to raise up to $500 million in a Hong Kong initial public offering, according to regulatory filings, after shelving the deal earlier this year following China"s regulatory crackdown on tech companies. The company is selling 16 million shares, which represents 7.7% of the enlarged share capital, as part of the deal launched on Tuesday. A price range of $HK190 to $HK220 has been set for institutional investors, according to a term sheet seen by Reuters, which will give Cloud Village a market capitalisation of $5.4 billion to $6.2 billion. A further 2.4 million shares can be sold as part of a so-called greenshoe option after the company lists on the Hong Kong Stock Exchange. Cloud Village will price its shares on Nov. 26 and start trading on the Hong Kong Stock Exchange on Dec. 2, according to the term sheet. NetEase has subscribed for $200 million worth of stock as a cornerstone investor alongside Song Music with $100 million and Orbis Investments with $50 million, according to the term sheet. Cloud Village scaled back the size of the IPO after initially aiming to raise at least $1 billion in August, sources told Reuters at the time. But the deal was shelved then as global financial markets reacted to the range of Chinese regulatory tightenings ordered after the Didi Global Inc (DIDI.N) IPO in the United States. Cloud Village is considered the closest rival to Tencent"s (0700.HK) music streaming service, which dominates the mainland Chinese market. Reporting by Scott Murdoch in Hong Kong; Editing by Stephen Coates