Jardine Matheson transformation and investment strategy (with Yvonne Man, David Ingles)

Lincoln Pan

Jardine's first-ever investment day sets out targets for TSR, recycling, and capital deployment to give investors better sense of direction.

Lincoln Pan

Last year recycled just under $5 billion in assets to drive buyback, grow dividend, and put new capital to work. Recent acquisition of I-MED Radiology (largest radiology clinic in Australia/NZ) shows commitment to building new growth pillars.

Lincoln Pan

New $500M buyback will begin immediately after previous program completes. Company trades at material discount to overall value.

Goal is to continue simplifying the group, recycle capital, grow private holding portfolio, and increase target rate of return.

Lincoln Pan

Targeting at least $200 million of incremental additional profit through M&A in portfolio. New verticals of growth needed, like radiology business.

Commitments made with 100% confidence to deliver absent any macro shake-ups.

Lincoln Pan

Strategy is to balance risk: currently overweight Indonesia profit, seeking to balance with OECD exposure. Not considering reducing Indonesia exposure - Astra is one of best operating businesses there.

Looking at capital allocation within Astra rather than consolidating. Astra has three major verticals: automotive, financing, mining.

Lincoln Pan

Reducing conglomerate discount is a slow climb using multiple tools: eliminating inefficiencies (privatizing Mandarin, Jardine Strategic), driving cash flow, buybacks, and acquiring better earnings with visibility.

This is not a 12-month transformation; Jardine has been around 194 years. Taking next 3-4 years to progressively improve business mix.

Lincoln Pan

Looking to do 2-3 selective deals over 4-5 years, focusing on OECD (starting with Australia), North Asia, and businesses with greater Pan-Asia exposure.

Building out team capabilities for North Asian markets.

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