Cycurion to Acquire Kustom Entertainment Video Unit in July 2026
Cybersecurity firm Cycurion strikes a deal for Kustom Entertainment's video-solutions segment, gaining ~1,000 clients and ~58 patents without diluting shares.
Cybersecurity company Cycurion, Inc. (NASDAQ: CYCU) announced Monday that it has signed an Asset Purchase Agreement, dated June 24, 2026, to acquire substantially all assets of Kustom Entertainment's (NASDAQ: KUST) legacy video-solutions division, with the deal expected to close in early July 2026. The McLean, Virginia-based firm said the transaction will add roughly 1,000 new clients and a portfolio of approximately 58 patents without requiring the issuance of new shares.
The assets being acquired span Kustom's full video-solutions operation, encompassing video hardware development and sales, camera products, software platforms, licensing, and ongoing support and servicing businesses. For Cycurion, a provider of AI-driven cybersecurity and managed IT security services, the acquisition represents a meaningful horizontal expansion into video technology infrastructure.
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The non-dilutive structure of the deal is notable for existing Cycurion shareholders, as it avoids the share issuance that typically accompanies acquisitions of this scale. The addition of approximately 58 patents could also strengthen Cycurion's intellectual property position as the company competes in an increasingly crowded AI-security and managed-services landscape.
Closing remains subject to the satisfaction or waiver of customary conditions outlined in the Asset Purchase Agreement. If those conditions are met on schedule, the transaction would significantly broaden Cycurion's client base and technology holdings before the end of Q3 2026.
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