CFG exits USD 100M+ in credit facilities for two private prison firms following sustained activist campaigns and shifting business conditions.
Citizens Financial Group is terminating credit facilities for CoreCivic and The GEO Group, two major private prison operators, citing changed commercial circumstances. The bank’s decision follows pressure from activist groups, including De-ICE Citizens, which opposed financial ties to the sector.
The move aligns with broader industry scrutiny over lending to private prison firms, though regulators prohibit banks from cutting ties based solely on political or religious grounds. CoreCivic and GEO have seen reduced capital needs after federal facility purchases, influencing Citizens’ risk assessment.
No immediate market reaction was reported, but the exit may signal heightened reputational risk for lenders in contentious sectors.