Toro Corp. Announces $60.0 Million Revolving Credit Facility

Toro Corp. (NASDAQ: TORO) signed a $60.0 million revolving credit facility with a European financial institution.

Rhea-AI Summary

Toro Corp. (NASDAQ: TORO) signed a $60.0 million revolving credit facility with a European financial institution. The Facility has a five-year tenor, bears interest at Term SOFR plus a margin, and is secured by a first-priority mortgage on four vessels. Net proceeds are for general corporate purposes.

Positive

• $60.0 million revolving credit facility provides near-term liquidity
• Five-year tenor supports medium-term funding stability
• Facility secured by mortgage may enable lower borrowing margin

Negative

• First-priority mortgage on four vessels encumbers key assets
• Interest rate at Term SOFR plus margin exposes cost to rate volatility

Argus Apr 2 session

+6.61% close to close Open Argus

Details

News Market Reaction – TORO

On Apr 2, the day this news came out, TORO closed 6.61% above the previous close.

Data tracked by StockTitan Argus for the Apr 2 session.

Market Context

On Apr 2, the day this news came out, the stock closed 6.6% above the previous close. A strong posit...

Analysis

On Apr 2, the day this news came out, the stock closed 6.6% above the previous close. A strong positive reaction aligns with the company securing a $60.0 million revolving credit facility for general corporate purposes. Historically, TORO’s stock has shown large moves around capital actions, including a 40.44% jump on a special dividend declaration and a later -20.88% move on payment. Investors would have weighed potential balance sheet flexibility against existing tools like prior ATM capacity and recent preferred share transactions when assessing sustainability.

Key Figures

Revolving credit facility: $60.0 million Facility tenor: 5 years Secured vessels: 4 vessels +2 more

Revolving credit facility

$60.0 million

New revolving credit facility with European financial institution

Facility tenor

5 years

Tenor of the revolving credit facility

Secured vessels

4 vessels

First priority mortgage over four company vessels

LPG carriers

2 vessels

Company fleet composition

MR tanker

1 vessel

Company fleet composition

Historical Context

4 past events · Latest: Jan 16

4 events

1. Jan 16

   Special dividend paid

   24h Move

   -20.9%

   Payment of previously declared $1.75 per share special dividend in cash and stock.

2. Dec 05

   Special dividend declared

   24h Move

   +40.4%

   Announcement of one-time $1.75 per share special dividend with cash or stock option.

3. Dec 05

   Q3 2025 earnings

   24h Move

   +40.4%

   Reported Q3 net income of $1.3M and EBITDA improvement with mixed revenue trends.

4. Oct 15

   Preferred redemption

   24h Move

   +2.4%

   Agreement with Castor Maritime to fully redeem 60,000 Series E preferred shares.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

revolving credit facility, term sofr, first priority mortgage, forward-looking statements, +1 more

5 terms

revolving credit facility financial

"today announced the signing of a $60.0 million revolving credit facility"

A revolving credit facility is a type of loan that a business can borrow from whenever it needs money, up to a set limit. It’s like having a credit card for companies—allowing them to borrow, pay back, and borrow again as needed, providing flexibility for managing cash flow or funding short-term expenses.

term sofr financial

"bears interest at a rate of Term SOFR plus a margin"

Term SOFR is a benchmark interest rate that reflects the cost of borrowing money over a specific period, based on actual transactions in the financial markets. It is used by lenders and borrowers to set the interest rates on loans and financial contracts, helping to ensure rates are fair and transparent. For investors, understanding term SOFR helps gauge borrowing costs and the overall direction of interest rates in the economy.

first priority mortgage financial

"secured by, among others, a first priority mortgage over four of the Company’s vessels"

A first priority mortgage is a loan secured by real estate that has the top legal claim on the property if the borrower defaults, meaning it gets paid before any other debts tied to the same property. For investors, it matters because that top claim lowers the risk of losing money compared with later-ranking loans—similar to standing first in line at a payout; the higher your position, the better your chances of recovering value if the asset is sold.

forward-looking statements regulatory

"Matters discussed in this press release may constitute forward-looking statements."

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

safe harbor provisions regulatory

"to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A"

Safe harbor provisions are rules or legal protections that shield companies or individuals from certain penalties or liabilities when they follow specific guidelines or procedures. They provide a sense of security, encouraging compliance and innovation by reducing the fear of legal repercussions if they act in good faith. For investors, these provisions help ensure that companies are transparent and accountable without the risk of unfair punishment for honest mistakes.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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LIMASSOL, Cyprus, April 02, 2026 (GLOBE NEWSWIRE) -- Toro Corp. (NASDAQ: TORO), (“Toro” or the “Company”), a global energy transportation services provider, today announced the signing of a $60.0 million revolving credit facility (the “Facility”) with a leading European Financial Institution. The Facility has a tenor of five years, bears interest at a rate of Term SOFR plus a margin, and will be secured by, among others, a first priority mortgage over four of the Company’s vessels. The net proceeds from the Facility are expected to be used for general corporate purposes.

About Toro Corp.

Toro Corp. is a global energy transportation services provider, operating a modern fleet of oceangoing vessels. The Company’s fleet comprises two LPG carriers and one MR tanker vessel that transport petrochemical gases and refined petroleum products worldwide.

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, including those related to the anticipated use of proceeds of the Facility. 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. Forward-looking statements are subject to risks, uncertainties and other factors because they relate to events and depend on circumstances that may or may not occur in the future and/or are beyond our control or precise estimate. Such risks, uncertainties and other factors include, but are not limited to, those factors discussed under “Risk Factors” in our Annual Report on Form 20-F for the year ended December 31, 2024 and our other filings with the SEC, which can be obtained free of charge on the SEC’s website at http://www.sec.gov. Except to the extent required by applicable law, we disclaim any intention or obligation to update publicly or revise any forward‐looking statements, whether as a result of new information, future events or otherwise.

CONTACT DETAILS

For further information please contact:

Investor Relations
Toro Corp.
Email: ir@torocorp.com 

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What are the key terms of TORO's $60.0 million revolving credit facility announced April 2, 2026?

The Facility is a $60.0 million revolving credit line with a five-year tenor. According to the company, it bears interest at Term SOFR plus a margin and is secured by a first-priority mortgage on four vessels.

How will TORO use the proceeds from the $60.0 million facility (TORO) announced April 2, 2026?

The net proceeds are intended for general corporate purposes. According to the company, no specific projects were named and funds are available to support working capital, operations, or other corporate needs.

What collateral secures TORO's new revolving credit facility announced April 2, 2026?

The Facility is secured by, among other things, a first-priority mortgage on four vessels. According to the company, those mortgages grant the lender primary claim on the specified vessels if enforcement becomes necessary.

Does TORO's April 2, 2026 financing change its interest rate exposure?

Yes. The Facility charges interest at Term SOFR plus a margin, which ties borrowing costs to market rates. According to the company, this exposes interest expense to future SOFR movements.

How long is TORO's revolving credit facility and what does the tenor mean for investors?

The Facility carries a five-year tenor, providing medium-term funding visibility. According to the company, this tenor means the line remains available under agreed terms for five years subject to covenant compliance and lender conditions.