GEO - The GEO Group (GEO) - Maturity Wall Removed But at What Cost?

Maturity Wall. The GEO Group has entered into a series of proposed transactions with certain of its secured and unsecured creditors that will, if completed, comprehensively address the substantial majority of the Company's debt maturity wall. This should remove a significant near-term concern of investors and GEO shares reacted as expected, rising 8.50% yesterday.Details. Recall, GEO has $278 million of debt payments in 2023 and $1.77 billion of repayments in 2024. Although the operating environment has turned favorable, limited capital markets access makes it unlikely GEO would be able to refinance the debt as it came due. The proposed transactions push the maturity wall out far enough that we believe GEO should be able to successfully refinance any debt that remains outstanding. Read More >>