Under Fire From Biden, Prison Operators Address Cash Crunch
- CoreCivic sells new $450 million bond to refinance debt
- Geo Group suspends dividend, begins review of REIT structure
Photographer: Oliver Contreras/Sipa/Bloomberg
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Private prison operators are rushing to shore up their finances after increasing political pressure regarding their treatment of inmates and immigrants cast doubts over the long-term prospects of their businesses.
CoreCivic Inc. sold $450 million of bonds to refinance near-term debt, according to a person with knowledge of the matter, while Geo Group Inc. said it would suspend its quarterly dividend to prioritize debt repayment and begin a review of its corporate structure, according to a statement Wednesday.