Nasdaq-listed bulker and tanker owner Castor Maritime has moved to spin off its tanker fleet into a newly formed subsidiary, Toro, and have its common shares listed on Nasdaq.
The move will see Castor shareholders receive two common shares of Toro for every five Castor common shares held at the close of business on December 6, 2022. The distribution is expected to occur on or about December 15, 2022.
Cyprus-based Castor currently owns 20 bulk carriers and eight tankers. The formation of a business in a specific sector of the shipping industry would provide “significant benefits to both companies and their shareholders,” according to the company, and would give Castor shareholders “the flexibility to monetise or adjust their equity holdings according to the shipping sectors in which they want to invest.”
The new vehicle will be led by Castor’s chairman, chief executive and finance chief, Petros Panagiotidis, and comprise one aframax, five aframax/LR2 and two handysize tankers.
The spinoff is subject to certain regulatory approvals and the approval of the listing of Toro’s shares on Nasdaq.