Chinese property developer Sino-Ocean Land Holdings Ltd plans to raise as much as HK$11.6 billion (US$1.5 billion) after setting a price range for its Hong Kong initial public offering, sources familiar with the deal said on Sunday.

Sino-Ocean, owned by China's largest shipping firm, COSCO International and state-run Sinochem, will kick off a marketing roadshow for its IPO on Monday.

The company, which declined to comment, is offering about 1.5 billion shares, or 33 percent of its enlarged share capital, with a price range of HK$6.45-HK$7.70 each, the sources said.

Sino-Ocean, which focuses on mid- to high-end residential property in Beijing, plans to expand in the Bohai Rim region of northern China, which includes second-tier cities such as Tianjin, Dalian and Shenyang.

Goldman Sachs, one of the deal's sponsors, expects the company to post net profit of 1.72 billion yuan (US$228 million) in 2007, up from 571 million yuan in 2006, thanks to a one-off gain this year. Sino-Ocean's IPO price range represents 17 times to 20 times forecast earnings.

The company sold its 50 percent stake in Chemsunny World Trade Centre, a Grade-A office property in Beijing, to its parent Sinochem in April, for 945.5 million yuan.

Rivals Beijing Capital Land (2868.HK: Quote, Profile, Research) and Guangzhou R&F Properties Co Ltd (2777.HK: Quote, Profile, Research), which have 85 and 48 percent of their land banks in the Bohai Bay region, trade at 17 times and 33 times forecast earnings in 2007, respectively.