CoreCivic to Acquire Farmville Detention Center for $67 Million
Deal News | Jun 10, 2025 | Globenewswire
CoreCivic, a leading government-solutions company, has announced its entry into a definitive agreement to acquire the Farmville Detention Center for $67 million. The 736-bed facility, situated in Farmville, Virginia, provides detention services for adult male noncitizens under an agreement with ICE. The acquisition, involving a complete takeover of membership interests in entities that own the facility, is set to close by July 1, 2025, upon satisfying customary closing conditions. It is expected to generate an annual incremental revenue of approximately $40 million. CoreCivic plans to fund the purchase using cash on hand and its revolving bank credit facilities. Damon T. Hininger, CEO, and Patrick D. Swindle, President and COO, expressed their enthusiasm for the expansion and the addition of over 200 new employees to their team. The purchase reflects CoreCivic's ongoing commitment to providing flexible and cost-effective solutions to government partners, further strengthening its position in the corrections and detention management sector. This strategic acquisition signifies CoreCivic’s expectation of continued demand for immigration services facilitated by ICE.
Sectors
- Corrections and Detention Management
- Government Solutions
- Real Estate Investment
Geography
- United States – CoreCivic is a U.S.-based company, and the facility being acquired is located in Virginia, highlighting the U.S. geographical focus.
- Virginia – The Farmville Detention Center is situated in Farmville, Virginia, making the state a central location in the article.
Industry
- Corrections and Detention Management – The article revolves around the acquisition of a detention facility, highlighting the industry's focus on corrections and providing secure detention services.
- Government Solutions – CoreCivic's business model of offering solutions to government entities makes this sector relevant, especially concerning detention and corrections infrastructure.
- Real Estate Investment – The acquisition of property interests in the Farmville Detention Center links the article to the real estate sector.
Financials
- $67.0 million – Total purchase price for the acquisition of the Farmville Detention Center.
- $40.0 million – Expected total annual incremental revenue generated by the acquisition.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| CoreCivic, Inc. | Acquiring Company | Company | A diversified government-solutions company and the acquiring party in the transaction. |
| Farmville Detention Center | Target | Company | The facility being acquired, located in Farmville, Virginia. |
| U.S. Immigration & Customs Enforcement (ICE) | Service User | Government | Uses the Farmville Detention Center for civil detention services under an agreement expiring in March 2029. |
| Prince Edward County, Virginia | Service Agreement Partner | Government | Has an Intergovernmental Service Agreement with ICE regarding the use of the Farmville Detention Center. |