TOP Ships Announces Amendment of Time Charter at a Higher Daily Rate

Rhea-AI Summary

TOP Ships (NYSE:TOPS) amended the time charter for its Suezmax vessel M/T Eco Oceano with Central Tankers Chartering, an entity affiliated with CEO/director Evangelos J. Pistiolis.

The amended charter begins January 1, 2026 for 5 years at a rate of $30,000 per day (up from $24,500 per day). The prior charter term extended until March 2037. The Charterer holds a $70 million purchase option exercisable only during February 2027. An independent board committee approved the amendment and obtained a fairness opinion from an independent financial advisor.

Positive

• Time charter rate increased ~22% to $30,000/day
• Fixed 5-year charter starting January 1, 2026
• $70 million purchase option provides defined exit price
• Independent committee approval with fairness opinion

Negative

• Charter shortened from original term to a 5-year contract
• Related-party charterer is affiliated with the company CEO
• Exercise of the $70 million option would remove future charter income

Key Figures

Stock price move 6.96% Price change over the prior 24 hours before this news

Current price $5.07 Trading price before article publication

52-week range $4.445–$11.47 Low to high over the last 52 weeks

Market cap $21,928,174 Equity value before the news

Charter duration 5 years New time charter term from January 1, 2026

New daily rate $30,000 per day Amended time charter rate for M/T Eco Oceano

Prior daily rate $24,500 per day Previous time charter rate before amendment

Purchase option price $70 million Charterer option to buy vessel exercisable in February 2027

Market Reality Check

$5.48 Last Close

Volume Volume 9,263 is below the 20-day average of 21,763 (relative volume 0.43x). low

Technical Price 5.07 is trading below the 200-day MA at 5.88, and about 55.8% under the 52-week high.

Peers on Argus

TOPS gained 6.96% with mixed peer moves: PXS +1.09%, IMPP +1.08%, MARPS +5.07%, while BANL -4.6% and DLNG -1.33%, indicating more stock-specific dynamics than a uniform sector move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 31	Asset sale agreement	Positive	+5.1%	Sale of mega-yacht newbuilding interest for <b>$38.0M</b> to monetize asset.
Nov 28	Real estate LOI	Positive	+2.8%	LOI for Dubai residential assets at 10% discount to appraised value.
Nov 20	Charter extension	Positive	-0.2%	Three-year time-charter extension at <b>$18,250</b> daily and <b>$20M</b> backlog.
Nov 17	Fleet refinancing	Positive	-2.1%	Sale-and-leaseback refinancing of four tankers, raising about <b>$27.2M</b>.
Jul 31	Spin-off details	Positive	-3.0%	Announcement of Rubico spin-off distribution of 100% of common shares.

Pattern Detected

Recent news for TOPS has often been constructive operationally or strategically, but price reactions have skewed negative, suggesting a tendency for the stock to sell off or underreact to seemingly positive developments.

Recent Company History

Over the last six months, TOPS announced several notable events. On Jul 31, 2025, it detailed the Rubico Inc. spin-off of two Suezmax tankers, with a -3.03% reaction. On Nov 17, 2025, it completed refinancing of four tankers, generating about $27.2M proceeds, and shares moved -2.06%. An MR tanker time-charter extension on Nov 20, 2025 at $18,250 per day and a $20.0M backlog saw a slight -0.17% move. Real-estate LOI news on Nov 28, 2025 and a mega-yacht sale announcement on Dec 31, 2025 triggered positive moves of 2.84% and 5.09% respectively. Today’s charter-rate increase fits this pattern of frequent related-party and asset-optimization transactions.

Market Pulse Summary

This announcement highlights a meaningful uplift in contracted economics for the Suezmax tanker M/T Eco Oceano, raising the daily rate to $30,000 over a five-year charter starting January 1, 2026, and adding a $70 million purchase option in February 2027. It continues TOPS’ pattern of fleet-focused and related-party transactions reviewed by independent committees. Investors may watch how such charter amendments affect contracted revenue visibility relative to the company’s position below its $11.47 52-week high.

Key Terms

time charter technical

"it has amended the time charter agreement for its Suezmax tanker vessel"

A time charter is an agreement where a ship owner rents out their vessel to a customer for a set period, during which the customer has control over the ship’s use and operation. This arrangement matters to investors because it provides a steady income stream for the ship owner and indicates ongoing demand for shipping services, reflecting the health of global trade and transportation markets.

suezmax technical

"for its Suezmax tanker vessel M/T Eco Oceano with Central Tankers"

Suezmax is the classification for the largest oil tanker size that can pass through the Suez Canal fully loaded; think of it as the biggest truck that still fits down a narrow highway. It matters to investors because ship size influences shipping costs, route choices and supply-chain flexibility — factors that affect oil transport expenses, freight rates and the profitability of energy and shipping companies.

purchase option financial

"the Charterer has a purchase option exercisable only during February 2027"

A purchase option is a contractual right that lets one party buy an asset, property, or securities at a pre‑agreed price during a specified period. For investors it matters because it provides the chance to lock in the right to acquire something later without committing now—like reserving the option to buy a house at today’s price—so you can benefit if value rises while limiting immediate exposure.

fairness opinion financial

"committee of the board of directors which obtained a fairness opinion"

A fairness opinion is a professional assessment that evaluates whether the terms of a financial deal, such as a merger or acquisition, are fair from a financial point of view. It helps investors and stakeholders understand if the deal is reasonable and balanced, much like an independent expert giving an unbiased judgment on whether a price or agreement is fair. This assurance can increase confidence that the transaction is fair for all parties involved.

AI-generated analysis. Not financial advice.

ATHENS, Greece, Jan. 06, 2026 (GLOBE NEWSWIRE) -- TOP Ships Inc. (the “Company” or “TOP Ships”) (NYSE American:TOPS), an international owner and operator of modern, fuel efficient “ECO” tanker vessels, announced today that it has amended the time charter agreement for its Suezmax tanker vessel M/T Eco Oceano with Central Tankers Chartering Inc. (the “Charterer”), a company affiliated with the Company’s CEO, Director and major shareholder, Evangelos J. Pistiolis.

The duration of the amended time charter is 5 years starting from January 1, 2026 and the time charter rate has been increased to $30,000 per day. Prior to the amendment, the duration of the time charter was until March 2037 and the time charter rate was $24,500 per day. As part of the amendment the Charterer has a purchase option exercisable only during February 2027 for $70 million.

The amendment was approved by an independent committee of the board of directors which obtained a fairness opinion from an independent financial advisor.

About TOP Ships Inc.

TOP Ships Inc. is an international owner and operator of ocean-going vessels focusing on modern, fuel-efficient eco tanker vessels transporting crude oil, petroleum products (clean and dirty) and bulk liquid chemicals. For more information about TOP Ships Inc., visit its website: www.topships.org.

Cautionary Note Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. 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, including statements regarding the employment of our fleet.

The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “plan,” “potential,” “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 expectations, beliefs, or projections. 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.

For further information please contact:
Alexandros Tsirikos
Chief Financial Officer
TOP Ships Inc.
Tel: +30 210 812 8107
Email: atsirikos@topships.org

FAQ

What change did TOP Ships (TOPS) make to the M/T Eco Oceano time charter on January 6, 2026?

TOP Ships amended the charter to a 5-year term starting January 1, 2026 and raised the rate to $30,000 per day.

How much did the M/T Eco Oceano time charter rate increase for TOPS?

The rate increased from $24,500 per day to $30,000 per day, roughly a 22% rise.

When can Central Tankers exercise the $70 million purchase option for TOPS' vessel?

The purchase option is exercisable only during February 2027 for $70 million.

Was the TOP Ships related-party charter amendment independently reviewed?

Yes; an independent board committee approved the amendment and obtained a fairness opinion from an independent financial advisor.

How does the amended charter term compare to the prior agreement for TOPS' vessel?

The prior charter ran until March 2037; the amendment sets a new fixed term of 5 years starting January 1, 2026.