Jardine Matheson: From tea and opium to diversified conglomerate
Singapore
THE Jardine group's history dates back nearly two centuries to the tea and opium trade in China. Over the years, it has evolved to become one of the largest conglomerates in the region, with hotels, automobiles and supermarkets among its businesses. The Business Times takes a brief look at the history of Jardine Matheson Holdings:
1800s:
- Jardine, Matheson & Co (JM & Co) was founded in July 1832 as a trading house by two Scots: doctor-turned-trader William Jardine and another trader, James Matheson, in Canton, China.
- In its early years, the company was involved in the opium trade in China while exporting tea to England.
- Around 1840, the group moved its main office to Hong Kong.
- The conglomerate had interests in a multitude of businesses, among them shipping, banking and insurance, sugar refining, cotton mills and the first ice-making factory in Hong Kong.
- It partnered Sir Paul Chater to form Hongkong Land in 1889, and helped establish The Star Ferry Company in 1898.
Early 1900s:
- In 1912, Shanghai became the firm's headquarters and it began to expand into new products and services to meet the growing industrialisation needs in China.
- In the 1950s, the group closed its mainland China offices, similar to other foreign companies, with the head office returning to Hong Kong.
- JM & Co became a public company in 1961.
- Hongkong Land opened the Mandarin Hotel, while Dairy Farm acquired the Wellcome grocery chain in Hong Kong.
1980s:
- A series of restructurings creates a cross-holdings structure meant to deter hostile takeovers.
- In 1984, Jardine Matheson Holdings Limited (JMH) was formed as the group's holding company. It was incorporated in Bermuda.
- In 1986, Dairy Farm and Mandarin Oriental were listed in Hong Kong. Jardine Strategic Holdings Limited (JSH) was formed to hold stakes in a number of group companies.
1990s:
- Jardine International Motors was formed, bringing together the group's motor vehicle interests.
- Around 1994, JMH pulled its listing out of Hong Kong and moved to London and Singapore.
- Dairy Farm expanded further, acquiring supermarket operations in Spain, New Zealand, Singapore and Malaysia. The European operations were later sold.
- Jardine Insurance Brokers was listed in London in 1991, later merging with another broker to form Jardine Lloyd Thompson, which was sold in 2019.
2000s:
- Minority shareholders tried unsuccessfully around 2000 to dissolve the cross-shareholdings structure.
- JMH made a long-term investment in Indonesian conglomerate Astra International, which has broadened Jardine's portfolio in South-east Asia. Astra made an equity investment in Gojek in 2018.
- The group also raised its stake in Cycle and Carriage, with the name of the entity subsequently changed to Jardine Cycle & Carriage.
- Hongkong Land acquired MCL Land to further enhance residential capabilities.
- JMH said on Monday it will simplify the parent company structure of the group by acquiring the 15 per cent of Jardine Strategic Holdings it does not already own.
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