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Miles Capital to be acquired by investment advisory firm PMA


Miles Capital Inc. in West Des Moines will become part of PMA, a financial and investment adviser based in Naperville, Ill. The two firms recently announced they have reached a definitive agreement in which PMA will acquire substantially all the assets of Miles Capital.

Founded in 1982, Miles Capital is an independent, institutional, SEC-registered investment adviser serving insurance companies, government entities, not-for-profit organizations and high-net-worth individuals.

“PMA is a natural fit for Miles,” David Miles, chairman and principal owner of Miles Capital, said in a news release dated Jan. 30. “My two main goals in seeking the right partner were cultural fit and an expanded menu of investment solutions for our valued clients, some of which we have served for over 30 years. As we began to explore a potential partnership with PMA, we were impressed by both their integrity and their investment expertise. I am confident that they will serve our clients well, and I am pleased to continue my involvement as an adviser to PMA post transaction.”

A spokeswoman for Miles Capital said the firm is now under an SEC quiet period pending closure of the sale, and cannot comment beyond statements in the release.

It’s the second sale of the firm for Miles, who originally joined the organization, then known as Investors Management Group, in 1987. Just four years later, he became its president and principal owner. In 1998, he sold IMG to Amcore Financial Inc., an Illinois-based financial services firm. Then West Bancorporation, the West Des Moines-based parent company of West Bank, acquired Amcore in 2005. West Bancorporation merged Amcore with another firm it bought, VMF Capital, to form WB Capital. In 2009, Miles reacquired the firm from West Bancorporation and renamed it Miles Capital Inc.

PMA and Miles Capital expect to close the sale in the first quarter, subject to regulatory approvals and required consents. Financial terms of the transaction were not disclosed. Miles Capital currently has 11 licensed advisers and a support staff of 11, according to the 2020 Book of Lists.

“PMA represents a great partner for us,” said Amy Mitchell, managing director and head of Government Entities at Miles Capital. “Our teams have worked together for several years and we believe our combined decades of experience delivering outstanding service to municipalities and other institutions is unparalleled.”

PMA, which had $28.6 billion in assets under administration at year-end 2019, includes PMA Financial Network, PMA Securities and Prudent Man Advisors, which collectively serve more than 2,800 municipalities, school districts, local government investment pools, insurance companies and other institutions across 12 states by providing investment, financial management and fund administration services. The company has a Des Moines office at 6000 Grand Ave.

“We are thrilled to welcome Miles Capital into the PMA family,” said James Davis, PMA’s chief executive officer. “We have known and respected David and the Miles Capital senior leadership for a long time. The firm’s deep experience and strong investment track records will be leveraged within PMA as we look to both accelerate growth and deliver to Miles’ clients an expanded suite of products and services.”

Read a 2009 article from the Business Record archives when David Miles bought back the firm.

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