This is an Inferno tie-in that takes place after Inferno is over, and one of the demons is still running around being bad. He wants to cast a spell to get some power again and decides to sacrifice Cloak and Dagger.
Dagger actually is able to kill the demon (named Crotus) on her own, but Cloak seems to be killed.
The New Mutants show up at the end of issue #4 but they’re really not necessary to the story.
Cloak being dead continues through issue #8, which hails his return on the cover.
In the meantime, the lesser character Ecstasy takes over his dark-force. Issues #5-7 are essentially build up to #8.
The writing is sub-par and some of the art is downright bad. It’s not worth getting into a lot of detail.
Suffice to say, Ecstasy uses the dark force to take over as the drug lord of NYC, which puts her at odds with Kingpin.
Eventually, we see that Cloak isn’t dead, he’s just trapped inside his own Darkforce Dimension–by Ecstasy, in fact.
And he escapes just as Dagger and Ecstasy are having a final show-down. So, all the characters are conveniently together, and Cloak gets his cloak back.
There’s also a sub-plot with the Cloak and Dagger side-character Mayhem becoming human again by making a deal with Mr. Jip, who is basically the demon character who stands in for Satan in Cloak and Dagger’s stories.
At the very end, we get a final page that is really a first page to Cloak and Dagger’s “Acts of Vengeance” tie-in. It’s just a teaser.