CoreCivic rises as US to reopen Texas immigration detention center

Shares of private prison operator CoreCivic Inc CXW.N up 4.8% premarket at $19.22 as U.S. Immigration and Customs Enforcement (ICE) to reopen Texas detention center

CXW said late Weds it reached agreement with ICE to resume operations at the South Texas Family Residential Center (STFRC) in Dilley, Texas, with capacity for up to 2,400 individuals

Total rev from the facility expected to be $180 mln, including medical services, and to be accretive to earnings beginning in Q2 2025, co said

The amended agreement expires in Mar 2030

Simultaneously, CXW entered new lease agreement with Target Hospitality TH.O, the facility's owner

Shares of THO jumping 14.3% to $6.33 before the bell

Last Jun, ICE said it would shutter the facility, which was built in 2014, to reallocate funds and expand detention bed space elsewhere

Through Weds close, CXW shares down ~15% YTD. Stock has risen 35% since Nov 5 election as U.S. President Donald Trump has vowed to crack down on illegal immigration