Kemper Corporation will acquire Infinity Property and Casualty Corporation in a cash-and-stock transaction valued at about $1.4 billion, the companies have announced.
Infinity is an auto insurer focused on serving the specialty, non-standard market. The company boasts approximately 2,300 employees, 10,600 independent agents and $1.4 billion in direct written premium in 2017.
“Together, our two companies have a terrific strategic and cultural fit,” said Glen N. Godwin, CEO of Infinity. As part of a larger company, Infinity will have access to the capabilities and resources necessary to drive accelerated growth and better serve our policyholders and partner agents. In addition, Infinity shareholders will benefit from immediate and certain value for their shares, as well as the opportunity to participate in the significant upside potential of the combined company.”
The combined company will have a more diversified portfolio and expanded customer reach, the companies said. Once the merger is complete, the company will have about $2.2 billion in non-standard auto insurance premiums.
In addition, the merger, for which Kemper was represented by Sidley Austin LLP, will result in broader product offerings and capabilities, with the combined company able to offer products across the auto, home, life and health insurance sectors.
