Toro Corp. Announces Proposed Spin-Off of its Handysize Tanker Business
Toro Corp. (NASDAQ: TORO) has announced plans to spin off its Handysize tanker business into a new company called Robin Energy . Toro shareholders will receive one Robin common share for every eight Toro common shares held. The spin-off includes one Handysize tanker and Xavier Shipping Co.
The strategic move aims to create two distinct businesses, allowing each to focus on their respective sectors. Petros Panagiotidis, Toro's current Chairman and CEO, will lead Robin Energy in the same capacity. The transaction is pending SEC registration statement approval and Nasdaq Capital Market listing.
Toro currently operates a fleet of five vessels with 0.1 million dwt capacity, consisting of one Handysize tanker and four 5,000 cbm LPG carriers. The spin-off is designed to enhance operational efficiencies and facilitate strategic expansion while giving shareholders flexibility in their shipping sector investments.
Toro Corp. (NASDAQ: TORO) ha annunciato piani per scindere la sua attività di tanker Handysize in una nuova società chiamata Robin Energy. Gli azionisti di Toro riceveranno un'azione comune di Robin per ogni otto azioni comuni di Toro detenute. La scissione include un tanker Handysize e la Xavier Shipping Co.
Questa mossa strategica mira a creare due aziende distinte, permettendo a ciascuna di concentrarsi sui propri settori. Petros Panagiotidis, attuale Presidente e CEO di Toro, guiderà Robin Energy nella stessa capacità. La transazione è in attesa di approvazione della dichiarazione di registrazione della SEC e della quotazione nel Nasdaq Capital Market.
Toro attualmente opera una flotta di cinque navi con una capacità di 0,1 milioni di dwt, composta da un tanker Handysize e quattro portacontainer LPG da 5.000 cbm. La scissione è progettata per migliorare l'efficienza operativa e facilitare l'espansione strategica, offrendo agli azionisti flessibilità nei loro investimenti nel settore marittimo.
Toro Corp. (NASDAQ: TORO) ha anunciado planes para escindir su negocio de tanques Handysize en una nueva empresa llamada Robin Energy. Los accionistas de Toro recibirán una acción común de Robin por cada ocho acciones comunes de Toro que posean. La escisión incluye un tanque Handysize y la Xavier Shipping Co.
Este movimiento estratégico tiene como objetivo crear dos negocios distintos, permitiendo que cada uno se enfoque en sus respectivos sectores. Petros Panagiotidis, actual Presidente y CEO de Toro, liderará Robin Energy en la misma capacidad. La transacción está pendiente de la aprobación de la declaración de registro de la SEC y la cotización en el Nasdaq Capital Market.
Toro actualmente opera una flota de cinco buques con una capacidad de 0,1 millones de dwt, compuesta por un tanque Handysize y cuatro transportadores de LPG de 5,000 cbm. La escisión está diseñada para mejorar la eficiencia operativa y facilitar la expansión estratégica, al tiempo que ofrece a los accionistas flexibilidad en sus inversiones en el sector marítimo.
토로 코퍼레이션 (NASDAQ: TORO)는 핸디사이즈 탱커 사업을 로빈 에너지라는 새로운 회사로 분리할 계획을 발표했습니다. 토로 주주들은 보유한 토로 보통주 8주당 로빈 보통주 1주를 받게 됩니다. 이번 분할에는 하나의 핸디사이즈 탱커와 자비에 해운이 포함됩니다.
이 전략적 움직임은 두 개의 독립적인 사업체를 만들고 각 사업체가 해당 분야에 집중할 수 있도록 하는 것을 목표로 합니다. 현재 토로의 회장 겸 CEO인 페트로스 파나기오티디스가 같은 직책으로 로빈 에너지를 이끌 것입니다. 이 거래는 SEC 등록 신청서 승인 및 나스닥 자본 시장 상장을 기다리고 있습니다.
토로는 현재 0.1백만 dwt 용량의 5척의 선박을 운영하고 있으며, 1척의 핸디사이즈 탱커와 4척의 5,000 cbm LPG 운반선으로 구성되어 있습니다. 이번 분할은 운영 효율성을 높이고 전략적 확장을 촉진하며 주주들에게 해운 부문 투자에 대한 유연성을 제공하기 위해 설계되었습니다.
Toro Corp. (NASDAQ: TORO) a annoncé des plans pour scinder son activité de tankers Handysize en une nouvelle société appelée Robin Energy. Les actionnaires de Toro recevront une action ordinaire de Robin pour chaque huit actions ordinaires de Toro détenues. La scission comprend un tanker Handysize et la Xavier Shipping Co.
Ce mouvement stratégique vise à créer deux entreprises distinctes, permettant à chacune de se concentrer sur ses secteurs respectifs. Petros Panagiotidis, actuel Président et PDG de Toro, dirigera Robin Energy dans la même fonction. La transaction est en attente d'approbation de la déclaration d'enregistrement de la SEC et de la cotation sur le Nasdaq Capital Market.
Toro exploite actuellement une flotte de cinq navires avec une capacité de 0,1 million de dwt, composée d'un tanker Handysize et de quatre transporteurs de GPL de 5 000 cbm. La scission est conçue pour améliorer l'efficacité opérationnelle et faciliter l'expansion stratégique tout en offrant aux actionnaires une flexibilité dans leurs investissements dans le secteur maritime.
Toro Corp. (NASDAQ: TORO) hat Pläne angekündigt, sein Handysize-Tanker-Geschäft in ein neues Unternehmen namens Robin Energy auszugliedern. Die Toro-Aktionäre erhalten eine Robin-Stammaktie für jeweils acht gehaltene Toro-Stammaktien. Die Ausgliederung umfasst einen Handysize-Tanker und die Xavier Shipping Co.
Dieser strategische Schritt zielt darauf ab, zwei eigenständige Unternehmen zu schaffen, die es jedem ermöglichen, sich auf ihre jeweiligen Sektoren zu konzentrieren. Petros Panagiotidis, der derzeitige Vorsitzende und CEO von Toro, wird Robin Energy in der gleichen Funktion leiten. Die Transaktion steht noch unter dem Vorbehalt der Genehmigung der SEC-Registrierungserklärung und der Notierung im Nasdaq Capital Market.
Toro betreibt derzeit eine Flotte von fünf Schiffen mit einer Kapazität von 0,1 Millionen dwt, bestehend aus einem Handysize-Tanker und vier LPG-Transportern mit 5.000 cbm. Die Ausgliederung soll die operativen Effizienzen verbessern und strategische Expansionen erleichtern, während den Aktionären Flexibilität bei ihren Investitionen im Schifffahrtssektor geboten wird.
- Creation of focused business units enhancing operational efficiency
- No additional cost or action required from shareholders
- Potential for better strategic expansion in distinct shipping sectors
- New investment flexibility for shareholders
- Reduction in fleet size from 5 to 4 vessels
- Potential market uncertainty during transition
- 8:1 share ratio may create fractional shares requiring liquidation
Insights
Toro Corp's planned spin-off of its Handysize tanker business represents a significant strategic restructuring that will fundamentally alter the company's asset composition and business focus. Currently, Toro operates a modest fleet of five vessels - one Handysize tanker and four LPG carriers. Post-spin-off, Toro will become a pure-play LPG carrier operator, while the new entity Robin Energy will hold the tanker business.
The 1:8 distribution ratio (one Robin share for every eight Toro shares) suggests management sees substantial value in this segmentation strategy. With a current market cap of just
This transaction follows shipping industry trends where companies are increasingly focusing on specialized vessel classes rather than operating diverse fleets. By separating its tanker business, Toro likely aims to improve operational focus, enhance investor appeal through clearer business models, and potentially unlock value that may be obscured in the current combined structure.
Notably, Petros Panagiotidis will serve as Chairman/CEO of both entities, maintaining continuity while enabling each company to pursue independent growth strategies. The transaction's success hinges on Nasdaq approval for Robin's listing and effectiveness of the Form 20-F registration statement.
The separation of Toro's single Handysize tanker into a standalone public company represents an unusual strategic move in the shipping sector. Typically, spin-offs occur with substantially larger asset bases - Robin Energy will begin its public life as arguably one of the smallest listed shipping companies with just a single vessel and the former subsidiary that owned M/T Wonder Formosa.
This transaction creates an intriguing situation where Toro transforms into a pure-play LPG carrier operator while Robin becomes a product tanker pure-play. The Handysize tanker segment operates in distinctly different trade routes and cargo markets compared to LPG shipping, facing different supply-demand dynamics and earning potential.
The fractional share mechanism (aggregating and selling fractional shares) is standard practice in spin-offs but particularly important given Toro's relatively low share price of
The strategic rationale aligns with industry trends toward specialization, though the scale is notably small. Most listed tanker companies operate fleets of 10+ vessels to achieve operational scale and portfolio diversification across charter durations. Robin's single-vessel structure presents both concentration risk and potential agility for rapid expansion through acquisitions in the Handysize tanker segment, a market niche with less competition from larger operators focused on mid-size and larger tankers.
LIMASSOL, Cyprus, March 01, 2025 (GLOBE NEWSWIRE) -- Toro Corp. (NASDAQ: TORO) (“Toro”, or the “Company”) an international energy transportation services company, announces that its Board of Directors (the "Board"), has decided, on the recommendation of a special committee of the Board, consisting of its independent disinterested members, to effect a spin-off of its Handysize tanker business comprising of one Handysize tanker and Xavier Shipping Co. (subsidiary formerly owning the M/T Wonder Formosa) (the “Spin-Off”). In the Spin-Off, Toro shareholders will receive one common share of Robin Energy Ltd. (“Robin”), a newly formed subsidiary that will act as the holding company for the one tanker vessel, for every eight Toro common shares. Robin has applied to have its common shares listed on the Nasdaq Capital Market. Toro’s Chairman and Chief Executive Officer, Petros Panagiotidis, has been appointed as Chairman and Chief Executive Officer of Robin with effect as of the completion of the Spin-Off.
The Board believes that the creation of a business in a distinct sector of the shipping industry – Handysize Product Tankers– will provide significant benefits to both companies and their shareholders. The transaction is expected to enable each of Toro and Robin to increase its focus on their respective line of businesses, enhance operational efficiencies, facilitate efficient strategic expansion, attract new investors, and, with this dividend distribution of Robin common shares, give Toro shareholders the flexibility to monetize or adjust their equity holdings according to the shipping sectors in which they want to invest.
Toro shareholders do not need to take any action to receive Robin shares to which they are entitled, and do not need to pay any consideration or surrender or exchange Toro common shares. Fractional Robin common shares will not be distributed to Toro shareholders. Instead, the distribution agent will aggregate fractional Robin common shares into whole shares, sell such whole Robin shares in the open market at prevailing rates promptly after Robin’s common shares commence trading on the Nasdaq Capital Market, and distribute the net cash proceeds from the sales pro rata to each holder who would otherwise have been entitled to receive fractional common shares in the distribution.
Robin has filed a registration statement on Form 20-F pursuant to the Securities Exchange Act of 1934 with the Securities and Exchange Commission, which includes a more detailed description of the terms of the proposed Spin-Off. The Spin-Off remains subject to the registration statement on Form 20-F being declared effective and the approval of the listing of Robin’s common shares on the Nasdaq Capital Market. There can be no assurance that the Spin-Off will occur or, if it does occur, of its terms or timing. A copy of the registration statement on Form 20-F is available at www.sec.gov. The information in the filed registration statement on Form 20-F is not final and remains subject to change.
About Toro Corp.
Toro Corp. is an international energy transportation services company with a fleet of tankers and LPG carriers that carry crude oil, petroleum products and petrochemical gases worldwide. Toro Corp. currently owns a fleet of five vessels with an aggregate capacity of 0.1 million dwt, which consists of one Handysize tanker and four 5,000 cbm LPG carriers.
Toro is incorporated under the laws of the Republic of the Marshall Islands. The Company's common shares trade on the Nasdaq Capital Market under the symbol “TORO”.
For more information, please visit the Company’s website at www.torocorp.com. Information on our website does not constitute a part of this press release.
Cautionary Statement Regarding Forward-Looking Statements
Matters discussed in this press release may constitute forward-looking statements. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts, and include statements relating to the expected benefit of the intended spin-off transaction, the expected timing of the completion of the spin-off transaction and the transaction terms. We are including this cautionary statement in connection with this safe harbor legislation. The words “believe”, “anticipate”, “intend”, “estimate”, “forecast”, “project”, “plan”, “potential”, “will”, “may”, “should”, “expect”, “pending” and similar expressions identify forward-looking statements. The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these forward-looking statements, including these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in our view, could cause actual results to differ materially from those discussed in the forward‐looking statements include the effects of the proposed Spin-Off, our business strategy, expected capital spending and other plans and objectives for future operations, including our ability to expand our business as a new entrant to the tanker and liquefied petroleum gas shipping industry, market conditions and trends, including volatility and cyclicality in charter rates (particularly for vessels employed in the spot voyage market or pools), factors affecting supply and demand for vessels, such as fluctuations in demand for and the price of the products we transport, fluctuating vessel values, changes in worldwide fleet capacity, opportunities for the profitable operations of vessels in the segments of the shipping industry in which we operate and global economic and financial conditions, including interest rates, inflation and the growth rates of world economies, our ability to realize the expected benefits of vessel acquisitions or sales and the effects of any change in our fleet’s size or composition, increased transactions costs and other adverse effects (such as lost profit) due to any failure to consummate any sale of our vessels, our future financial condition, operating results, future revenues and expenses, future liquidity and the adequacy of cash flows from our operations, our relationships with our current and future service providers and customers, including the ongoing performance of their obligations, dependence on their expertise, compliance with applicable laws, and any impacts on our reputation due to our association with them, the availability of debt or equity financing on acceptable terms and our ability to comply with the covenants contained in agreements relating thereto, in particular due to economic, financial or operational reasons, our continued ability to enter into time charters, voyage charters or pool arrangements with existing and new customers and pool operators and to re-charter our vessels upon the expiry of the existing charters or pool agreements, any failure by our contractual counterparties to meet their obligations including bunker prices, dry-docking, insurance costs, costs associated with regulatory compliance and costs associated with climate change, changes in our operating and capitalized expenses, our ability to fund future capital expenditures and investments in the acquisition and refurbishment of our vessels (including the amount and nature thereof and the timing of completion thereof, the delivery and commencement of operations dates, expected downtime and lost revenue), instances of off-hire, fluctuations in interest rates and currencies, including the value of the U.S. dollar relative to other currencies, any malfunction or disruption of information technology systems and networks that our operations rely on or any impact of a possible cybersecurity breach, existing or future disputes, proceedings or litigation, future sales of our securities in the public market, our ability to maintain compliance with applicable listing standards or the delisting of our common shares, volatility in our share price, potential conflicts of interest involving members of our board of directors, senior management and certain of our service providers that are related parties, general domestic and international political conditions, such as political instability, or events or conflicts (including armed conflicts, such as the war in Ukraine and the conflict in the Middle East), acts of piracy or maritime aggression, such as recent maritime incidents involving vessels in and around the Red Sea, sanctions “trade wars” and potential governmental requisitioning of our vessels during a period of war or emergency, global public health threats and major outbreaks of disease, any material cybersecurity incident, changes in seaborne and other transportation, including due to the maritime incidents in and around the Red Sea, fluctuating demand for tanker and LPG carriers and/or disruption of shipping routes due to accidents, political events, international sanctions, international hostilities and instability, piracy, smuggling or acts of terrorism, changes in governmental rules and regulations or actions taken by regulatory authorities, including changes to environmental regulations applicable to the shipping industry and to vessel rules and regulations, as well as changes in inspection procedures and import and export controls, inadequacies in our insurance coverage, developments in tax laws, treaties or regulations or their interpretation in any country in which we operate and changes in our tax treatment or classification, the impact of climate change, adverse weather and natural disasters, accidents or the occurrence of other unexpected events, including in relation to the operational risks associated with transporting crude oil and/or refined petroleum products. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The information set forth herein speaks only as of the date hereof, and we disclaim any intention or obligation to update any forward‐looking statements as a result of developments occurring after the date of this communication.
CONTACT DETAILS
For further information please contact:
Petros Panagiotidis
Toro Corp.
Email: ir@torocorp.com
FAQ
What is the exchange ratio for Toro Corp's (TORO) spin-off of Robin Energy?
How many vessels will remain in Toro Corp's (TORO) fleet after the spin-off?
What happens to fractional shares in the TORO spin-off?
Who will lead Robin Energy after the spin-off from Toro Corp (TORO)?
What regulatory approvals are needed for Toro Corp's (TORO) spin-off?
