Chemed-Owned Roto-Rooter Seals $120M Franchise Expansion: Here's Who Controls the Plumbing Giant

Roto-Rooter just wrapped up its biggest franchise takeover yet—scooping up HSW RR’s 14 franchises across western territories for $120 million. If you’re wondering who owns Roto-Rooter, the answer is Chemed Corporation, which holds it as a wholly-owned subsidiary. This mega-acquisition marks a major power move in the plumbing services space.

The Deal Breakdown

The transaction closed in September 2019, adding prime real estate across multiple key markets. We’re talking about 14 Roto-Rooter franchises spanning from Southern California all the way to the Pacific Northwest. The footprint includes the Los Angeles metro area (Inland Empire, San Fernando Valley, San Gabriel County, Orange County), San Diego, Dallas, El Paso, Phoenix, Tucson, Florence, Salt Lake City, Ogden, Park City, Provo, Portland, and Salem.

Market Reach Gets Massive

Combined, these newly acquired locations now serve roughly 32 million people. That’s a substantial chunk of the western U.S. market for plumbing and drain cleaning services. HSW was Roto-Rooter’s largest independent franchise operator before the acquisition, so absorbing their operations represents a significant consolidation play.

Why It Matters

This acquisition reflects Roto-Rooter’s aggressive strategy to boost market share and profitability through franchise consolidation. By bringing HSW’s operations in-house, Chemed-controlled Roto-Rooter tightens its grip on the nation’s plumbing and drain cleaning market—the company already dominates as the leading provider in its category.

For context, Chemed Corporation operates two major subsidiaries alongside Roto-Rooter: VITAS Healthcare, which dominates the hospice care space as the nation’s largest provider. The $120M franchise play underscores how the parent company continues to invest in growth and operational efficiency across its service portfolio.