---
schema_version: "secwatch.filing_event.v1"
accession: "0001731122-25-001268"
form_type: "8-K"
ticker: "DTST"
cik: "0001419951"
company_name: "Data Storage Corp"
filed_at: "2025-09-16T23:59:59+00:00"
generated_at: "2026-05-17T06:29:08.924122+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.85
calibrated_materiality_score: 0.85
confidence: "high"
source: SEC EDGAR
---

# Data Storage closes sale of CloudFirst for $40M; targets AI, GPU, cybersecurity

## Summary
- Sale closed Sep 11, 2025; gross proceeds $40M; estimated net proceeds ~$24M after fees, taxes, adjustments.
- Shareholders approved transaction on Sep 10, 2025 with 4,045,746 votes for, 20,930 against.
- Remaining operating subsidiary Nexxis generated ~$1.1M sales in FY2024; Company plans to pursue acquisitions in AI, GPU, and cybersecurity.
- Pro forma financials show net loss attributable to common stock of $(2.75M) for FY2024 and $(1.44M) for H1 2025 after removing CloudFirst.
- CloudFirst brand and leadership remain intact under new owner Performive, backed by Renovus Capital.

## SEC filing metadata
- accession: 0001731122-25-001268
- form_type: 8-K
- ticker: DTST
- cik: 0001419951
- company_name: Data Storage Corp
- filed_at: 2025-09-16T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.85
- calibrated_materiality_score: 0.85
- confidence: high
- sec_items: 1.01, 5.07, 2.01, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1419951/000173112225001268/0001731122-25-001268-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1419951/000173112225001268/e6842_8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001731122-25-001268
- JSON: https://secwatch.observer/filing/0001731122-25-001268.json
- Plain text: https://secwatch.observer/filing/0001731122-25-001268.txt

## Key facts
- M&A Transactions
  Data Storage Corp completed a disposition involving Total Server Solutions Holdings, LLC for $40 million (closed 2025-09-11).
  - Action: disposition
  - Counterparty: Total Server Solutions Holdings, LLC
  - Consideration: $40 million
  - Closing: 2025-09-11
  source text: ”), the Divestiture was consummated. At the closing of the Divestiture, Purchaser: (i) purchased all of the outstanding units of NewCo in exchange for the purchase price of $40 million, as adjusted in accordance with the Purchase Agreement, and (ii) assumed the Assumed Liabilities, as such term is defined in the Contribution Agreement. Following the
  evidence_url: https://www.sec.gov/Archives/edgar/data/1419951/000173112225001268/0001731122-25-001268-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.