CoreCivic Inc. Secures New Contract to Reactivate West Tennessee Detention Facility

CoreCivic, Inc. (NYSE: CXW), a leading American company specializing in detention and correctional services, has announced a significant development in its operations. On August 14, 2025, the company disclosed that it has been awarded a new contract under an intergovernmental services agreement (IGSA) between the City of Mason, Tennessee, and U.S. Immigration and Customs Enforcement (ICE). This contract will enable CoreCivic to resume operations at its 600-bed West Tennessee Detention Facility, which has been idle since September 2021.

The agreement, which expires in August 2030, may be extended through bilateral modifications. It includes a fixed monthly payment and an incremental per diem payment based on detainee populations, ensuring a steady revenue stream for CoreCivic once the facility is operational.

This development follows a decision by local officials in Mason, Tennessee, to convert the former prison into an ICE detention center. Despite opposition from residents and activists, the five-member board of aldermen, along with Mayor Eddie Noeman and Vice-Mayor Reynaldo Givhan, approved the conversion in a meeting held at a fire station garage. The decision aligns with CoreCivic’s mission to design, construct, own, manage, and renovate detention facilities nationwide.

Financially, CoreCivic’s stock (CXW) has seen fluctuations over the past year, with a 52-week high of $24.99 on November 7, 2024, and a low of $12.13 on September 10, 2024. As of August 13, 2025, the close price stood at $20.46. The company boasts a market capitalization of $2.19 billion and a price-to-earnings ratio of 27.273.

This contract award marks a pivotal moment for CoreCivic, reinforcing its position as the second-largest private prison operator in the United States. The reactivation of the West Tennessee Detention Facility is expected to bolster the company’s operational capacity and financial performance in the coming years.