Kansas City Life Insurance Company has agreed to acquire Grange Life Insurance Company from Grange Mutual of Columbus, Ohio.
The base price for the deal is $77.2 million, according to Kansas City Life.
Kansas City Life is a stock company based in 1895. It operates in 49 states and the District of Columbia.
Grange Mutual is a mutual founded in 1935. It operates in states in the Midwest, in the Southeast, and along the Atlantic coast.
Grange Life is a stock company. Kansas City Life would acquire it by acquiring all of its stock.
The deal is subject to review by the Ohio Department of Insurance.
The companies hope to complete the deal by Sept. 30.
R. Philip Bixby, president of Kansas City Life, said in a statement that the company is making the acquisition to continue to grow and serve its policyholders.
“Life insurance is our lifeblood, and we have a strategic vision in place,” Bixby said.
John Ammendola, president of Grange Mutual, said he believes the deal will create new opportunities for the company’s life insurance customers and agents.
Kansas City Life said Walter Bixby, executive vice president of Kansas City Life will lead the integration efforts.
Theresa Mason, the president of Grange Life, will continue to be the president of Grange Life after the deal is completed, Kansas City Life said.
A.M. Best says it has assigned a financial strength rating of A-, or excellent, to Grange Life. The company put the rating, and its a- long-term issuer credit rating on Grange Life, under review with developing implications until the deal closes.
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