William Jardine (merchant) - Death and Legacy

Death and Legacy

In late 1842, Jardine's health had rapidly deteriorated possibly from pulmonary oedima. In the latter part of the year, Jardine was already bedridden and in great pain. He was assisted by his nephew, Andrew Johnstone and later on by James Matheson in his correspondence. Despite his illness, Jardine was still very active in keeping an eye on business, politics and current affairs. Despite his poor health, he still welcomed a steady stream of visitors from family members, business partners, political associates and his constituents. A constituent, James Stewart, once commented to a friend who wrote this letter, "...he (Stewart) had come mainly to see one Jardine, an enormous Laird from Applegarth Parish and China, and a very good man; who is understood to be dangerously ill at present." It is interesting to note that Jardine had helped James Stewart's son William by giving him a place in the firm in Canton as a clerk in the 1830s and eventually became a partner in 1842.

Jardine's strength and character were brought to light with descriptions from both John Abel Smith and James Matheson. John Abel Smith wrote, "...his bodily strength and physical powers are much reduced...His resignation and fortitude are most extraordinary and really almost heroic." While Matheson wrote, "...his mind continue clear and composed to the last."

The taipan, Dr. William Jardine died on 27 February 1843, just three days after his 59th birthday, one of the richest and most powerful men in Britain and a respected Member of Parliament. Jardine's funeral was attended by a very large gathering of family, friends, government and business personalities, many of whom Jardine had helped in his lifetime.

Jardine, a bachelor, willed his estate to his siblings and his nephews. An older nephew, Andrew Johnstone, administered Jardine's issue. His other nephews David, Joseph, Robert and Andrew Jardine, all sons of Jardine's older brother David, continued to assist James Matheson in running Jardines. Matheson retired as taipan in 1842 and handed over control of the firm to his nephew Sir Alexander Matheson, who was also known as of the same capacity and competence as the elder Jardine and Matheson. David Jardine, another nephew of Jardine, became taipan after Sir Alexander Matheson. David in turn would hand over to his brother Sir Robert control of the firm. Joseph succeeded Robert as taipan. Succeeding Joseph was Alexander Percival, a relative of Sir James Matheson's wife. Succeeding Alexander Percival is James Whittall who is related neither to the Jardine or Matheson families. No other member of the Matheson family became active in the firm after Percival, though another nephew, Donald Matheson, served as director. Sir Robert Jardine (1825–1905) is the ancestor of the Buchanan-Jardine branch of the family. A descendant of Sir Robert, Sir John Buchanan-Jardine, sold his family's 51% holding in Jardine, Matheson and Co. for $84 million at the then prevailing exchange rate in 1959. A great-nephew of Jardine who would be taipan from 1874 to 1886, William Keswick (1834–1912), is the ancestor of the Keswick branch (pronounced Ke-zick) of the family. Keswick is a grandson of Jardine's older sister, Jean Johnstone. Keswick was responsible for opening the Japan office of the firm in 1859 and also expanding the Shanghai office. James Matheson returned to England to fill up the Parliament seat left vacant by Jardine and to head up the firm Matheson & Co., previously known as Magniac, Jardine & Co., in London, a merchant bank and Jardines' agent in England. In 1912, Jardine, Matheson & Co. and the Keswicks would eventually buy out the shares of the Matheson family in the firm although the name is still retained. The company was managed by several family members of William Jardine and their descendants throughout the decades, including the Keswicks, Buchanan-Jardines, Landales, Bell-Irvings, Patersons, Newbiggings and Weatheralls.

An arrangement was made that the management setup of the firm was that a senior partner or proprietor was based in London who had power to appoint senior managers in the firm but had little operational control while a managing director or 'Tai-pan' was stationed in the Far East, either in Shanghai or Hong Kong, who dealt with everyday affairs of the firm. This arrangement had been in practice since the early years of the firm up to the present.

Notable Jardines Managing Directors or Tai-pans included Sir Alexander Matheson, 1st Baronet, David Jardine, Robert Jardine, William Keswick, James Johnstone Keswick, Ben Beith, David Landale, Sir John Buchanan-Jardine, Sir William Johnstone "Tony" Keswick, Sir Hugh Barton, Sir Michael Herries, Sir John Keswick, Sir Henry Keswick, Simon Keswick and Alasdair Morrison. There was a point in time in the early 20th century that the firm had two 'Tai-pans' at the same time, one in Hong Kong and one in Shanghai, to effectively manage the firm's extensive affairs in both locations. Both tai-pans were responsible only to the senior partner or proprietor in London who was normally a retired former tai-pan and an elder member of the Jardine family.

Today, the Jardine Matheson Group is still very much active in Hong Kong, being one of the largest conglomerates in Hong Kong and its largest employer, second only to the government. Several landmarks in present day Hong Kong are named after the firm and the founders Jardine and Matheson like Jardine's Bazaar, Jardine's Crescent, Jardine's Bridge, Jardine's Lookout, Yee Wo Street, Matheson Street, Jardine House and the Noon Day Gun. Jardines is also active in China, North America, Europe, Australia, the Middle East and parts of Africa. It went through several major internal changes throughout the 19th and 20th century. In 1947, a secret Trust was formed by members of the family to retain effective control over the company. Jardine, Matheson and Co. offered its shares to the public in 1961 under the tenure of Sir Hugh Barton and was oversubscribed 56 times. The Keswick family, in consortium with several London-based banks and financial institutions, bought out the controlling shares of the Buchanan-Jardine family in 1959, but subsequently sold most of the shares during the 1961 public offering, retaining only about 10% of the company. The company had its head office redomiciled to Bermuda in 1984 under the tenure of Simon Keswick to maintain control after nearly being taken over by Chinese tycoon Li Ka-shing of Cheung Kong after a hostile raid in 1980. Li, who bought nearly 20% of the company at that time the largest shareholding in the company, agreed to sell his shares to Hongkong Land, a sister company of Jardines, at a premium. Another reason for the move was fear of the Chinese take-over of Hong Kong and the threat of Chinese retaliation for Jardines drug smuggling past. Subsequent events led to the cross-shareholding structure between Jardine, Matheson & Co. and Hongkong Land which was first instigated in 1980 by then taipan David Newbigging. In 1988, instigated by Brian Powers, the first American taipan of Jardines, the entire corporate structure of Jardine, Matheson & Co., including all its allied companies, were restructured so that a holding company based in London and controlled by the Keswick family would have overall policy and strategic control of all Jardine Matheson Group companies. The firm delisted from the Hong Kong Stock exchange (Hang Seng Index) in 1994 under the tenure of Alasdair Morrison and placed its primary listing in London and its secondary listing in Singapore. The present Chairman of Jardine Matheson Holdings Ltd. is Sir Henry Keswick, who is based in the UK, was the company's tai-pan from 1970 (aged 31) to 1975 and was the 6th Keswick to be tai-pan of the company. His brother, Simon, was the company's taipan from 1983 to 1988 and is the 7th Keswick to be tai-pan. Both brothers are the 4th generation of Keswicks in the company. The firm's present managing director or tai-pan is Anthony Nightingale who is based in Hong Kong. The organizational structure of Jardines has changed almost totally, but the members of the family of Dr. William Jardine still control the firm through a complex cross-shareholding structure, several allied shareholders and a secretive 1947 Trust.