Jardine eyes more Asia deals after US$10 billion spree to revamp empire

Published Fri, May 29, 2026 · 09:45 AM

[HONG KONG] Jardine Matheson Holdings is considering selling more assets as part of an overhaul to transform the conglomerate into an investment firm with a focus on higher growth areas, according to sources familiar with the matter.

Among options being considered, the group’s Mandarin Oriental International is weighing selling the remainder of an office tower in Hong Kong, following a deal last year to sell 13 floors to Alibaba Group Holding and Ant Group for HK$7.2 billion (S$1.2 billion), said the sources, who asked not to be identified while discussing private deliberations. The group, whose business includes retail, autos and infrastructure, is also reviewing options for other units, they said.

Another potential target for sale is Zung Fu, Jardine’s Mercedes-Benz dealership business in Hong Kong and Macau, according to one of the sources. CEO Lincoln Pan, who was co-head of private equity at PAG before joining Jardine in December, is hiring an investment team to oversee the conglomerate’s portfolio revamp, according to the sources.

Jardine declined to comment.

Conglomerates are a deeply rooted feature of Hong Kong’s commerce landscape, with Jardine tracing its history back to an opium trading house founded in 1832 and rising to prominence during the city’s time under British rule. But the business empires are increasingly looking to get out of the traditional sectors favoured by earlier generations as they attempt to navigate the challenges of the modern era.

Jardine’s revamp coincides with similar steps by billionaire Li Ka-shing’s CK Hutchison Holdings, which is also pivoting its focus in the face of rising global geopolitical tensions and disruptive technological development. At Jardine, chairman Ben Keswick has led an overhaul that has included a sweeping restructure designed to simplify holdings and announced last year his desire to reposition the company to focus on investing rather than directly operating businesses.

Investors have welcomed the pivot. Jardine’s Singapore-listed shares have climbed more than 40 per cent in the past year as it proposed or completed at least US$10.5 billion in asset sales and mergers and acquisitions, data compiled by Bloomberg show. The group is also buying back shares to boost investor returns.

Shedding assets

Core to its ambitions are plans to expand in developed markets in the Asia-Pacific region, including Australia and Japan, in a bid to capture new growth opportunities and reduce exposure to geopolitical risks from South-east Asia, which accounts for about 63 per cent of its underlying profit, according to some of the sources.

Jardine will look at opportunities in sectors beyond its existing portfolio, which focuses on heavy industries, real estate, retail and financial services, they said.

In a potential sign of what’s to come, the company this week announced its expansion into Australia’s medical industry with a US$2.4 billion acquisition of diagnostic imaging provider I-MED Radiology Network.

Meanwhile, Jardine and its subsidiaries have been shedding capital-intensive assets across sectors, including property and infrastructure, to free up cash for faster-growing industries and markets.

That includes putting at least US$1.8 billion worth of Hong Kong property up for sale over the past year, data compiled by Bloomberg show.

In other sectors, Jardine’s restaurant unit has been seeking to sell its KFC and Pizza Hut chains in Asian markets, including Hong Kong and Taiwan, attracting bidders including Carlyle Group and Yum China Holdings, Reuters reported in May. The company is also exploring a sale of its car dealership in Malaysia and Singapore, Bloomberg News has reported.

Beyond asset sales, Jardine is also streamlining its headcount in line with plans it previously announced. The group and its DFI Retail Group Holdings unit have conducted several rounds of layoffs of back office staff, according to sources familiar. BLOOMBERG