Data Storage (DTST) CEO Amend Form 4 Discloses RSU Vesting and Tax-Motivated Sale
Rhea-AI Filing Summary
Charles M. Piluso, Chairman and CEO of Data Storage Corp (DTST), filed an amended Form 4 disclosing transactions on 03/28/2025. The amendment reports that 3,390 shares of common stock were sold to satisfy tax withholding at a weighted-average price of $3.55 (individual sale prices ranged from $3.50 to $3.65). The filing also discloses the vesting of 9,416 restricted stock units (RSUs) that converted one-for-one into common stock, increasing the Reporting Person’s direct holdings to 401,659 shares. The filing details additional indirect holdings: 16,667 shares via Piluso Family Associates, 65,083 via Piluso Family Associates LLC, and 230,116 each through two trusts, for significant aggregate indirect ownership.
Positive
- RSU vesting disclosed, adding 9,416 shares to the Reporting Person's direct beneficial ownership
- Amendment improves disclosure by correcting the omission from the original Form 4 and providing vesting schedule details
- Detailed indirect ownership breakdown through Piluso Family Associates, Piluso Family Associates LLC, and two trusts
Negative
- 3,390 shares sold to satisfy tax withholding obligations at a weighted-average price of $3.55
- Original Form 4 omitted the RSU vesting, requiring this amendment
Insights
TL;DR: Amendment discloses RSU vesting and a small tax-driven sale; overall direct beneficial ownership increased to 401,659 shares.
The amended Form 4 clarifies that 9,416 RSUs vested on 03/28/2025 and converted into 9,416 shares, of which 3,390 shares were sold to satisfy tax withholding at a reported weighted-average price of $3.55. The Reporting Person’s direct holdings rose from 392,243 to 401,659 shares. The filing includes clear disclosure of multiple indirect ownership vehicles and quantifies holdings by entity, which improves transparency for investors tracking insider alignment with shareholders.
TL;DR: The amendment corrects an omission by reporting RSU vesting and tax-related disposals, improving disclosure completeness.
The amendment states the RSUs were originally granted on 03/28/2023 and vest in three equal annual installments with vesting dates specified, explaining the reason for the reported sale (tax withholding). Detailed statements on indirect ownership through family entities and trusts are included, specifying relationships and trustee information, which is important for assessing control and potential voting influence.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | Restricted Stock Unit | 9,416 | $0.00 | -- |
| Sale | Common Stock | 3,390 | $3.55 | $12K |
| Exercise | Common Stock | 9,416 | $0.00 | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Footnotes (1)
- Represents shares of the Issuer's common stock sold to satisfy tax withholding obligations of Charles M. Piluso (the "Reporting Person"). The price reported is a weighted average price. These shares were disposed in multiple transactions at prices ranging from $3.50 through $3.65 (the "Range"), inclusive. The Reporting Person undertakes to provide to the Issuer, any security holder of the Issuer, or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the Range. Restricted stock units ("RSUs") convert into common stock on a one-for-one basis. This amendment to Form 4 is being filed to disclose the vesting of RSUs which was inadvertently omitted from the original Form 4 filed by the Reporting Person on April 1, 2025 (the "Original Form 4"), which vesting resulted in the sale of common stock to satisfy tax withholding obligations previously reported on the Original Form 4. These RSUs were granted to the Reporting Person on March 28, 2023 and vest over a three year period, in equal installments on March 28, 2024, March 28, 2025 and March 28, 2026. The Reporting Person is a Managing Member of Piluso Family Associates, together with his spouse. The Reporting Person is a Managing Member of Piluso Family Associates LLC, together with his spouse. The Reporting Person's spouse is the beneficiary of The Lasata 2012 Trust dated 5/4/12 (the "Lasata Trust") and the Reporting Person's spouse, together with Lawrence Maglione, a director of the Issuer, are the co-trustees of the Lasata Trust. The Reporting Person is the beneficiary of The Bella Vita 2012 Trust dated 5/4/12 (the "Bella Vita Trust") and the Reporting Person, together with his spouse, are the co-trustees thereof.
