Cryptokitties.co blockchain game initially sold some cats to raise capital-correct me if im wrong please
their digital cat images are effective ERC721 non-fungible tokens.
Was this initial sale of the cats in reality an Initial Coin Offering? if they in fact sold ethereum tokens.
if not, how that sale may be defined?
You are correct. Their digital cat images are effective non-fungible ERC721 tokens. There is a good article about it on blockgeeks