UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
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Item 2.01 Completion of Acquisition or Disposition of Assets
VITAS Acquisition
On April 17, 2024, Chemed issued a press release announcing that VITAS Healthcare Corporation (“VITAS”), a wholly-owned indirect subsidiary of Chemed, completed its acquisition of substantially all hospice operations and an assisted living facility from Covenant Health and Community Services, Inc., d/b/a Covenant Care, a Florida not for profit corporation (“Covenant”), for $85 million. Covenant operated hospice services in the panhandle of Florida and Alabama, including the Pensacola, Tallahassee, Marianna, Fort Walton Beach, Crestview and Panama City markets in Florida, and Dothan and Mobile market in Alabama. The purchase was made using cash on-hand.
A copy of the press release announcing the events described above is attached hereto as Exhibit 99.1.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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| CHEMED CORPORATION | |
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Dated: April 17, 2024 |
| By: | /s/ Michael D. Witzeman |
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| Michael D. Witzeman |
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| Chief Financial Officer, Vice President and Controller |
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Exhibit Index
Exhibit No. Description
99.1 Press Release dated April 17, 2024
104 The cover page from this Current Report on Form 8-K formatted in Incline XBRL
CONTACT: Michael D. Witzeman
(513) 762-6714
VITAS Completes the Previously Announced Purchase of Assets of Covenant in Florida and Alabama
CINCINNATI, April 17, 2024 – VITAS Healthcare Corporation, a wholly-owned subsidiary of Chemed Corporation (“Chemed”) (NYSE: CHE) announced the completion of the previously announced purchase of all hospice operations and an assisted living facility from Covenant Health and Community Services, Inc. d/b/a/ Covenant Care (“Covenant”) for an aggregate purchase price of $85 million. The transaction is structured as an asset purchase.
Covenant’s hospice operations span the panhandle of Florida and Alabama, specifically including the Tallahassee, Marianna, Fort Walton Beach, Panama City, Crestview and Pensacola markets in Florida, and the Dothan and Mobile/Daphne markets in Alabama.
The transaction, which was announced on March 13, 2024, closed effective April 17, 2024.
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.
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