HONG KONG, Dec 9 (Reuters) - Fu Shou Yuan International Group Ltd, a Shanghai-based death care company, launched on Monday an up to $215 million Hong Kong initial public offering, tapping Carlyle Group LP and hedge fund firm Farallon Investors as investors in the deal.

Fu Shou Yuan is offering 500 million new shares in an indicative range of HK$2.88-HK$3.33 each, the terms showed.

Carlyle and Farallon were among four companies that agreed to buy about $45 million worth of shares as cornerstone investors. Cornerstone investors receive a guaranteed allocation in exchange for agreeing to retain their stakes for a set period.

Citigroup Inc is the sole sponsor and global coordinator of the offer, the term sheet showed, with CIMB and UBS also helping to underwrite the deal.