PROPERTY developer TEE Land launched its initial public offering (IPO) today and aims to raise net proceeds of $57.8 million.

TEE Land, which is the development unit of mainboard-listed TEE International, is offering 115 million shares at 54 cents apiece.

It has set aside six million shares to retail investors and the rest are on placement.

The firm intends to use up to $21 million of the proceeds to repay loans and advances, while $26 million will be earmarked to fund new property developments and investments. The balance will go towards working capital.

TEE Land chief executive Jonathan Phua said in a statement that he hopes the firm will become a "sizeable player in property development".

Mr Phua, 38, is the nephew of TEE International chief executive Phua Chian Kin, 53.

TEE Land mainly develops freehold property targeted at buyers with middle to high incomes.

It has focused on residential developments but will expand to commercial and industrial projects. These might be subsequently leased for rental income or sold, it said.

TEE Land will continue to expand its operations beyond Singapore. It has developments in Malaysia, Thailand and Vietnam, and hopes to enter Myanmar and Sri Lanka, where it sees pent-up demand for residential and commercial property.

It also aims to enter the New Zealand market to capitalise on the shortage of high-quality apartments in Christchurch city centre, which was hit by a devastating earthquake two years ago.

TEE Land said the capital value of its portfolio is $394.57 million.

The public offer closes at noon on June 4 with trading to start on June 6.