Shuanghui plans IPO

China's Shuanghui International Holdings, which has agreed to buy US pork producer Smithfield Foods Inc for $4.7 billion, plans to list the combined company in Hong Kong after completing the takeover, people with knowledge of the matter told Reuters.

A Hong Kong IPO, valued at around $4 billion, would allow the merged group to trade in a market that would place a higher valuation on the stock than the US or other exchanges, the sources said.

The Smithfield deal has yet to close, the sources cautioned, and plans for what happens after the takeover will only be finalized upon the completion of the deal. Shuanghui could not be reached for comment.