NEW YORK (TheStreet) -- Ambac Financial Group  (AMBC) - Get Report surged to an all-time high of $31.73 on Wednesday on higher-than-usual volume.

The stock closed at $31.12, up 9.27% from its previous close of $28.48, and amassed a volume of 3,241,433, nearly five times its average of 665,943. It hit a low of $28.51 for the day and holds a one-year low of $15.03.

News broke Wednesday that Ambac, which went public on Aug. 23, 2013, is pursuing a claim of more than $2.5 billion against Bank of America  (BAC) - Get Report.

Must Read: Ambac To Host Investor Day On March 27, 2014

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STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.