Roto-Rooter Completes the Previously Announced Purchase of Assets of Its Largest Independent Franchise Operator
September 16 2019 - 1:32PM
Business Wire
Roto-Rooter Services Company, a wholly-owned subsidiary of
Chemed Corporation ("Chemed") (NYSE: CHE) announced the completion
of the previously announced purchase of HSW RR, Inc.’s (“HSW”)
franchise operations and Western Drain Supply for an aggregate
purchase price of $120 million. HSW is Roto-Rooter’s largest
independent franchise operator.
This is Roto-Rooter’s largest franchise acquisition and will add
fourteen Roto-Rooter franchises in the western U.S. The franchised
territories include: Metro Los Angeles (including Inland Empire,
San Fernando Valley, San Gabriel County, Orange County) and San
Diego, California; Dallas and El Paso, Texas; Phoenix, Tucson, and
Florence, Arizona; Salt Lake City, Ogden, Park City, and Provo,
Utah; and Portland and Salem, Oregon. Collectively, these
Roto-Rooter locations serve a population of approximately 32
million people.
The transaction, which was announced on August 5, 2019, closed
effective September 16, 2019. This purchase is part of
Roto-Rooter’s ongoing strategy of acquiring franchises to boost
productivity, market share and profitability.
Listed on the New York Stock Exchange and headquartered in
Cincinnati, Ohio, Chemed Corporation (www.chemed.com) operates two
wholly owned subsidiaries: VITAS Healthcare and Roto-Rooter. VITAS
is the nation's largest provider of end-of-life hospice care and
Roto-Rooter is the nation’s leading provider of plumbing and drain
cleaning services.
Statements in this press release or in other Chemed
communications may relate to future events or Chemed's future
performance. Such statements are forward-looking statements and are
based on present information Chemed has related to its existing
business circumstances. Investors are cautioned that such
forward-looking statements are subject to inherent risk that actual
results may differ materially from such forward-looking statements.
Further, investors are cautioned that Chemed does not assume any
obligation to update forward-looking statements based on
unanticipated events or changed expectations.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190916005759/en/
David P. Williams (513) 762-6901
Chemed (NYSE:CHE)
Historical Stock Chart
From Aug 2024 to Sep 2024
Chemed (NYSE:CHE)
Historical Stock Chart
From Sep 2023 to Sep 2024