Compass Bancshares, Inc., (NASDAQ: CBSS) announced that it has acquired Capital Investment Counsel, Inc., a Denver, Colorado-based investment advisory firm with over $1.3 billion in assets under management.

Founded in 1990, Capital Investment Counsel, Inc. (CIC) is one of the largest registered investment advisors in the Denver, Colorado and Phoenix, Arizona areas. CIC specializes in providing comprehensive wealth management services, financial planning and investment advisory services. The Carson Medlin Company both initiated the transaction and served as financial advisor to CIC.

"This acquisition is consistent with our business plan aimed at increasing fee-based revenues," said D. Paul Jones, Jr., Compass' chairman and chief executive officer. "The addition of Capital Investment Counsel further enhances our ability to provide customers with first-class wealth management and investment advice and, as our primary investment advisory arm in Denver and Phoenix, will enable us to more effectively serve customers in these key Western markets."

The CIC senior management team, led by chairman and chief executive officer Chris Johnson and president Clark Johnson, will continue in their present roles and will operate as a subsidiary of Compass Bank under the CIC name. "We are joining an outstanding organization," said Chris Johnson. "In addition to their outstanding distribution network and focus on providing exceptional customer service, we were impressed by their insight and the thoroughness of Compass’ investment management business plan." Added Clark Johnson, "Combining with Compass is a sound business decision designed to enhance our existing client’s experience. Additionally, we strengthen our opportunities for growth as we offer a wide range of services to Compass’ customers and gain access for our clients to Compass’ banking products."

The addition of CIC marks the third acquisition of an investment advisory firm by Compass. In 2002, Compass completed its initial investment advisory firm acquisition through the purchase of Jacksonville, Florida-based St Johns Investment Management Company. In 2005, Compass acquired Stavis, Margolis Advisory Services, Inc., one of the most respected financial planning and investment advisory firms in Houston, Texas.