Kemper Corporation announced the successful completion of a new $550 million credit agreement which includes both revolving credit and term loan facilities.

The new credit agreement includes a $300 million, five-year revolving credit facility and $250 million, two-year delayed-draw term loan facility, replacing the current $225 million five-year credit facility scheduled to mature in June 2020. The new credit agreement extends the final maturity date for the revolving credit facility by three years to June 2023.

The new credit agreement provides available financing for Kemper’s pending acquisition of Infinity Property and Casualty Corporation, as well as future financial flexibility. The agreement also includes an accordion provision under which Kemper may increase the amount of the facilities up to a shared aggregate maximum of $100 million.

“Our new credit agreement reflects today’s strong credit market conditions and incorporates optimized terms, pricing and liquidity flexibility. The new term facility offers attractive bank term financing for our pending acquisition of Infinity,” said James J. McKinney, Kemper’s Senior Vice President and Chief Financial Officer. “We appreciate our banks’ continued ongoing commitment to Kemper.”

JPMorgan Chase Bank, N.A., served as administrative agent and syndication agent, and Bank of America, N.A. and Wells Fargo Bank, National Association, also served as syndication agents, for the new credit agreement. Additionally, JPMorgan Chase Bank, N.A., Merrill Lynch, Pierce, Fenner & Smith, Incorporated, and Wells Fargo Securities, LLC served as joint bookrunners and joint lead arrangers.