Data Storage Corporation (DTST) Prices 1.6M Unit Upsized Offering at $6.75/Unit; Announces Uplisting to Nasdaq

May 14, 2021 6:02 AM EDT

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Data Storage Corporation (NASDAQ: DTST), a provider of diverse business continuity, disaster recovery protection, and cloud infrastructure solutions and services, today announced the pricing of its upsized underwritten public offering of 1,600,000 units at a price to the public of $6.75 per unit. Each unit to be issued in the offering consists of one share of common stock and one warrant to purchase one share of common stock at an exercise price of $7.425. The common stock and warrants are immediately separable and will be issued separately. The common stock and warrants are expected to begin trading on the Nasdaq Capital Market, on May 14, 2021, under the symbols “DTST” and “DTSTW,” respectively. DSC expects to receive gross proceeds of $10.8 million, before deducting underwriting discounts and commissions and other estimated offering expenses. In connection with the offering, the Company will effectuate a reverse split of its issued and outstanding common stock at a ratio of 1-for-40. The reverse stock split is expected to be effective at 12:01 a.m., Eastern Time, on May 14, 2021. The share numbers and pricing information in this release are adjusted to give effect to the reverse stock split.

DSC has granted the underwriters a 45-day option to purchase up to an additional 240,000 shares of common stock and/or an additional 240,000 warrants at the public offering price to cover over-allotments, if any. The offering is expected to close on May 18, 2021, subject to customary closing conditions.

Maxim Group LLC is acting as sole book-running manager for the offering.

The offering is being conducted pursuant to the Company's registration statement on Form S-1 (File No. 333-253056), as amended, previously filed with and subsequently declared effective by the Securities and Exchange Commission (“SEC”).

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