Cycurion, Inc. (CYCU) announced the completion of its acquisition of substantially all assets from the video-solutions division of Kustom Entertainment, Inc. on August 3, 2026. The acquired business, which includes video hardware, camera products, and software solutions, is expected to enhance Cycurion's cybersecurity and video-surveillance capabilities.
Key Details
- Purchase Consideration: The aggregate consideration consists of $1.25 million in cash, a $4.25 million secured promissory note, up to $1.0 million in contingent earnout payments, and $600,000 in Series H Preferred Stock.
- Series H Preferred Stock Terms: The stock has a stated value of $600,000, accrues dividends at 12.0% per annum, and is convertible into common stock at a conversion price of $1.45 per share.
- Secured Promissory Note: The $4.25 million note, issued to the seller, carries a 7.0% annual interest rate and is secured by the acquired assets.