Abstract: TELIS (Terahertz and submm Limb Sounder) is a cooperation between DLR (Institute for Remote Sensing Technology, Germany), RAL (Rutherford Appleton Laboratories, UK) and SRON (National Institute for Space Research, the Netherlands), to build a three-channel balloon-borne heterodyne spectrometer for atmospheric research. The three receivers will operate simultaneously at 500 GHz (channel developed by RAL), at 550-650 GHz (SRON in collaboration with IREE), and at 1.8 THz (DLR). The balloon platform on which TELIS will fly also contains a Fourier transform spectrometer: MIPAS-B developed by the IMK (Institute of Meteorology and Climate research of the University of Karlsruhe, Germany). MIPAS-B will simultaneously measure within the range 680 to 2400 cm-1. The combination of the TELIS and MIPAS instruments will provide an unprecedented wealth of scientific data and will also be used to validate other instruments and atmospheric chemistry models. In this paper we present the optical design of TELIS with an emphasis on the 550-650 GHz channel. The main design goal was to generate a high efficiency antenna beam over the full frequency range, with low side lobes and close to diffraction limited angular resolution in the vertical direction at the sky. All these requirements had to be achieved within a small volume and low mass. Design and validation of the optics, as well as estimation of optical components tolerances, was done using commercial software packages ZEMAX and GRASP.