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UK Conglomerate Sets Its Sights on Vietnam’s Leading Corporations Amid Heightened Competition

British conglomerate targets VN's top corporations amid competitive pressures

Jardine Matheson Expands Its Investment in Vietnam

Jardine Matheson, a multinational conglomerate with a rich history of nearly 200 years across Asia and Europe, has a diverse portfolio ranging from tea and cotton trading to modern ventures in automotive and real estate. The group is currently enhancing its presence in Vietnam through strategic investments in leading companies.

Through Jardine Cycle & Carriage (JC&C), its branch in Singapore, Jardine Matheson primarily engages in automotive distribution. The company holds significant shares in major Vietnamese firms: Thaco, headed by billionaire Tran Ba Duong; REE Corp., guided by Nguyen Thi Mai Thanh; and Vinamilk, under the leadership of Mai Kieu Lien.

JC&C’s journey with Thaco began in 2008 when it acquired a 20.5% stake, which increased to 26.6% by 2019. In a recent move, JC&C invested $350 million in convertible bonds from Thaco, scheduled to mature in 2028, enhancing its position further in the automotive sector.

In its dealings with REE Corp., JC&C initially acquired over 10% stake in 2012 via its Platinum Victory fund, which has since grown to over 35%. JC&C plans to increase its holding to 42.1% by purchasing an additional 30 million shares valued around VND 1.9 trillion. At the current market rate, this investment amounts to over VND 11 trillion.

Similarly, JC&C has committed a considerable amount to Vinamilk, where it controls over 10% of shares valued at approximately VND 14 trillion. Additionally, Jardine Matheson has ventured into Vietnam’s real estate market through its subsidiary Hongkong Land, managing high-value properties in major cities like Hanoi and Ho Chi Minh City.

The company’s investment strategy prioritizes market leaders with substantial operational histories while steering clear of substantial investments in large real estate firms or relatively new businesses under 20 years old.

Despite this careful approach, Jardine Matheson has faced a decline in profits from its Vietnamese operations. The mid-2024 financial report indicated a 12% year-over-year drop in profits from these investments, totaling $30 million.

Thaco generated $15 million for JC&C, although it saw increased auto sales and market share. However, fierce competition, especially from electric vehicle manufacturer VinFast and various Chinese brands, affected profitability in the automotive sector.

REE Corp. contributed $7 million, but its profits fell by 39% due to decreased demand for hydropower, highlighting challenges despite its long-standing presence focused on renewable energy and clean water projects.

While Vinamilk remains Vietnam’s leading dairy producer, it has experienced a slowdown in revenue growth and declining profits, alongside a drop in its stock price.

Jardine Matheson’s real estate operations, run through Hongkong Land, include prestigious properties like Central Building in Hanoi and The Nassim in Ho Chi Minh City. The conglomerate also partners with reputable retail brands in Vietnam, such as Pizza Hut, Starbucks, and KFC.

Founded in 1832 in Canton (now Guangzhou, China) by Scotsmen William Jardine and James Matheson, the group initially gained prominence through the trade of opium, tea, and spices. By breaking the East India Company’s monopoly in Asia by 1834, Jardine Matheson became the largest British trading entity in the region.

In 1844, the company established its headquarters in Hong Kong, expanding its influence along the Chinese coastline and reinforcing its position in Asian commerce.

Today, the group continues to utilize its extensive experience to adapt to contemporary business challenges, with Vietnam emerging as a vital market for its operations.


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