Data Storage Corporation shares surge 37.57% intraday after selling CloudFirst Technologies assets for $40 million and planning to repurchase up to 85% of outstanding shares.

Data Storage Corporation surged 37.57% intraday after announcing the sale of CloudFirst Technologies assets to Total Server Solutions Holdings, LLC for $40 million, aiming to accelerate growth in private environments and pursue high-growth opportunities. The company plans to use the proceeds and existing cash to repurchase up to 85% of its outstanding shares, aiming to enhance shareholder value. The remaining funds will be invested in high-growth areas, including AI-enabled SaaS, cybersecurity, and medical automation, expanding its business scope.