Data Storage closes sale of CloudFirst business

Data Storage (DTST) completed the previously announced sale of its CloudFirst business, comprised of substantially all of the assets held by CloudFirst Technologies, to Performive, a cloud infrastructure provider backed by Renovus Capital Partners. The transaction, approved by shareholders on September 10, closed on September 11, and generated approximately $40M in gross proceeds, with estimated net proceeds of $24M after fees, taxes, and adjustments. The Company plans to use proceeds to support targeted acquisitions and investments in areas aligned with digital infrastructure, including artificial intelligence-enabled software, graphics processing unit technologies, and cybersecurity. DSC will also continue operating Nexxis, its telecommunications subsidiary.