Deal

CHEMED CORP acquires 2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice

January 2018 asset purchases (franchise / hospice tuck-ins) ready

Snapshot

CHEMED CORP acquired 2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice for $53.2 million (Roto-Rooter $42.2M; VITAS Florida $11.0M) in January 2018. The transaction was structured as all cash. 2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice is a United States (Roto-Rooter franchise territories); Florida (VITAS hospice)-based Roto-Rooter and VITAS Healthcare business.

Acquirer
CHEMED CORP
Target
2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice
Value
$53.2 million (Roto-Rooter $42.2M; VITAS Florida $11.0M)
Date
January 2018
Type
asset purchases (franchise / hospice tuck-ins)
Status
ready
01 Scorecard

The deal at a glance

Private-market deal
CHEMED CORP acquires 2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice
Deal value
$53.2 million (Roto-Rooter $42.2M; VITAS Florida $11.0M)
Sector
Roto-Rooter and VITAS Healthcare
Date
January 2018
VectorShift
Made on VectorShift

About this deal

CHEMED CORP acquired 2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice for $53.2 million (Roto-Rooter $42.2M; VITAS Florida $11.0M), a transaction completed in January 2018, structured as all cash. The deal was a asset purchases (franchise / hospice tuck-ins).

2018 cohort: four former Roto-Rooter franchisees + one VITAS Florida hospice operates in Roto-Rooter and VITAS Healthcare, is based in United States (Roto-Rooter franchise territories); Florida (VITAS hospice). During 2018 Chemed completed four business combinations of former franchisees within the Roto-Rooter segment for $42.2 million in cash to increase market penetration, and the VITAS segment completed one business combination in Florida for $11.0 million to increase market penetration. Individual target names and exact close dates were not separately disclosed; the date shown is a year placeholder (the deals occurred across calendar 2018).

"to increase our market penetration."

Operational efficiencies from consolidating stand-alone franchises into Roto-Rooter's nationwide branch network. Roto-Rooter Services Company / VITAS Healthcare Corporation

During 2018, we completed four business combinations of former franchisees within the Roto-Rooter segment for $42.2 million in cash to increase our market penetration. The VITAS segment completed one business combination in Florida for $11.0 million to increase our market penetration.
Chemed FY2020 10-K, Acquisitions note
Advisors not disclosed

No advisory firms have been disclosed for this transaction.

Sources Press release Last updated

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