How Jardine Matheson expands footprint in Vietnam

From a quiet financial investment in 2008, Jardine Matheson, a diversified, Asia-focused investment company based in Bermuda, has steadily expanded its influence in Vietnam, one of Southeast Asia’s fastest-growing economies.

Strategic stake in Thaco

Jardine Matheson began its journey with Truong Hai Auto Corporation (Thaco) in July 2008, when its Singapore-based subsidiary Jardine Cycle & Carriage Limited (JC&C) acquired a 20% stake in the Vietnamese company for $77 million, valuing Thaco at $385 million at the time.

In 2019, JC&C raised its ownership to 26.6%, the current level, by purchasing 30.3 million additional shares at VND128,500 ($4.93) per share, totaling VND3.9 trillion ($170 million). The deal catapulted Thaco’s valuation to around $9 billion.

JC&C deepened the partnership further in 2023 by investing another VND8.68 trillion (about $350 million) through 60-month convertible bonds. When the bonds mature on November 14, 2028, JC&C will have the option to require Thaco to repurchase all or part of them, starting from the release of the company’s audited consolidated financial statements for 2027.

While the conversion price remains undisclosed, Thaco chairman Tran Ba Duong recently revealed in a shareholder letter that the agreed valuation for conversion is 20 times Thaco’s 2027 consolidated earnings.

Thaco is one of the largest private multi-sector conglomerates in Vietnam. Its business involves automobiles, agriculture, investment-construction, commerce-service, logistics, and supporting-mechanics.

The group recently proposed to invest in a North-South high-speed railway project in Vietnam, following a similar proposal from heavyweight Vingroup.

In a proposal submitted to Prime Minister Pham Minh Chinh on May 26, Thaco said that of the $61.35 billion in investment capital, 20% will come from its equity and the remaining from foreign and domestic loans. The cost does not include compensation and resettlement expenditures, which belong to a seperate project handled by the State.

From trade in China to conglomerate powerhouse

Jardine, Matheson & Co was founded in 1832 by two Scotsmen, initially as a trading company in Guangzhou, China. The company moved its headquarters to Hong Kong in 1944 and has since evolved into one of Asia’s largest conglomerates.

Today, Jardine Matheson’s portfolio spans multiple sectors: automotive, construction, energy, mining, finance, real estate, retail, food & beverage, and hospitality. Its core markets include China, Indonesia, Singapore, and Vietnam.

Deepening Roots in Vietnam

In addition to its stake in Thaco, JC&C has invested in several Vietnamese listed companies like holding a 41.4% interest in Refrigeration Electrical Engineering Corporation (REE) and 10.6% in dairy giant Vinamilk. JC&C was also a significant shareholder in Asia Commercial Bank (ACB) until it exited in late 2017.

According to JC&C’s 2024 annual report, its investments in Thaco, REE, and Vinamilk together contributed $102.8 million in underlying profit, with Thaco being the largest contributor at 38%, followed by Vinamilk (33%) and REE (29%).

Broader Southeast Asia portfolio

In Indonesia, JC&C owns stakes in Astra, a sprawling multi-industry group, and Tunas Ridean, a major vehicle distributor. It also owns Cycle & Carriage, which operates vehicle distribution networks in Singapore and Malaysia, and holds a 0.1% stake in Toyota Motor Corporation globally.

By market, Indonesia contributed 87% of JC&C’s 2024 underlying profit ($1.1 billion), followed by Vietnam at 9%, with other countries accounting for the remaining 4%.

By sector, the automobile sector led the way with 35% of underlying profits, followed by industrial equipment and mining (30.4%) and financial services (20.9%). Other segments contributed between 1.3% and 5%.

In 2024, JC&C recorded $22.3 billion in revenue, unchanged from 2023, and $2.55 billion in after-tax profit, down 14.3% year-on-year.

As of March 2025, Jardine Strategic Singapore Pte Ltd - a fully owned subsidiary of Jardine Matheson Holdings - had held 84.99% of JC&C’s shares. Other institutional shareholders include Citibank Nominees Singapore Pte Ltd, HSBC (Singapore) Nominees Pte Ltd, Raffles Nominees (Pte.) Limited, and DBS Nominees (Private) Limited.

Moving beyond finance: F&B, retail, and high-end real estate

Jardine Matheson’s presence in Vietnam extends far beyond financial investments.

In food & beverage, Jardine Restaurant Group (JRG) - a division of Jardine Pacific - owns 25% of KFC Vietnam, one of the country’s leading fast-food chains. JRG also operates Pizza Hut outlets under a franchise model.

Maxim’s Caterers, 50% owned by Dairy Farm (another Jardine entity), is the franchise partner for Starbucks in Vietnam. Founded in 2000 in Hong Kong, Maxim’s also represents Starbucks in Cambodia, Hong Kong, Macau, and Singapore.

In retail, Dairy Farm has invested in health and personal care chains Guardian and Giant. Guardian Vietnam operates 99 stores in major cities like Ho Chi Minh City, Hanoi, and Da Nang, offering over 500 international brands.

In the premium real estate sector, through Hongkong Land, Jardine Matheson owns two office buildings in central Hanoi: 63 Ly Thai To Building and Central Building at 31 Hai Ba Trung street.

In 2015, Hongkong Land partnered with SonKim Land to co-develop The Nassim, a luxury residential project in Thao Dien, District 2, Ho Chi Minh City. The development features 238 upscale apartments and penthouses.

Later in 2017, Hongkong Land became the partner of local infrastructure developer CII in developing Thu Thiem River Park, a high-end project with 1,140 apartments and a planned investment of over $400 million, in the Thu Thiem new urban area. Jardine exited the project less than a year after the announcement.