Oil giant Sinopec Group is reshuffling its businesses and making preparations for an initial public offering (IPO) in Hong Kong.

Sinopec's restructuring started as early as February. Oil logistics and refining have become the first two sectors to be combined, said Huang Wensheng, spokesman of Sinopec.

In mid-2012, Sinopec will finish consolidating its eight subsidiary construction companies into a new group, reported China Daily citing a source close to Sinopec.

The balance sheets of the eight companies have been merged to meet what is required for an IPO in Hong Kong, said the source.