Kemper Group has announced it is acquiring Infinity Property&Casualty Corp. for about $1.4 billion in a transaction financed by cash and short-term debt of approximately $550 million and new stock issuance of about $850 million. We believe the transaction will have minimal impact on the group's capital adequacy and financial flexibility, so we are affirming all our ratings on Kemper Group with a stable outlook. At the same time, we are placing our ratings on Infinity on CreditWatch with negative implications. We will resolve the CreditWatch placement once details of the transaction are complete. On Feb. 13, 2018, S&P Global Rating Services affirmed its ratings on Kemper Group following the company's announcement that it had agreed to purchase
