Data Storage Corporation Closes Sale of CloudFirst Business
Proceeds to Support Strategic Investments and Targeted Acquisitions in Technology Sectors
Data Storage Corporation (Nasdaq: DTST) (“DSC” or the “Company”), at this time introduced it has accomplished the beforehand introduced sale of its CloudFirst enterprise (“CloudFirst”), comprised of considerably all of the property held by CloudFirst Technologies Corporation, a wholly-owned subsidiary of the Company, to Performive, a cloud infrastructure supplier backed by Renovus Capital Partners. The transaction, accepted by shareholders on September 10, 2025, closed on September 11, 2025, and generated roughly $40 million in gross proceeds, with estimated web proceeds of $24 million after charges, taxes, and changes.
The Company plans to make use of proceeds to help focused acquisitions and investments in areas aligned with digital infrastructure, together with synthetic intelligence (“AI”)-enabled software program, graphics processing unit (“GPU”) applied sciences, and cybersecurity. DSC may even proceed working Nexxis, Inc., its telecommunications subsidiary.
While the Company has recognized key sectors of curiosity, it stays open to alternatives that supply recurring income and long-term shareholder worth.
“With the CloudFirst transaction full, we’re in a stronger place to guage and execute focused acquisitions,” stated Chuck Piluso, CEO of Data Storage Corporation. “We will take a disciplined method to investing in infrastructure and software program companies that align with our working capabilities and provide recurring income potential.”
Transaction Continuity
The CloudFirst model, management workforce, and repair mannequin will stay intact beneath Performive. No adjustments are anticipated to shopper relationships, staffing, or service supply.
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