---
title: "Cycurion to Acquire Kustom Video-Solutions Assets for $1.25M Cash, $4.25M Note, Warrants"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/291337753.md"
description: "Cycurion acquired Kustom’s video-solutions assets for $1.25M cash, a $4.25M secured note, and warrants. The deal expands Cycurion's product portfolio with body-worn cameras and evidence management tech. Consideration includes potential earnouts and employment agreements to retain key personnel."
datetime: "2026-06-30T21:33:00.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/291337753.md)
  - [en](https://longbridge.com/en/news/291337753.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/291337753.md)
generator: "portal-rs"
---

# Cycurion to Acquire Kustom Video-Solutions Assets for $1.25M Cash, $4.25M Note, Warrants

Cycurion entered into an Asset Purchase Agreement to acquire Kustom’s video-solutions business, adding body-worn cameras, in-car video, and digital evidence management technologies. Consideration includes $1.25 million in cash, a $4.25 million secured note at 7% maturing in three years, up to $1.0 million in revenue-based earnouts, and warrants for 2,000,000 shares at a $2.80 exercise price. Ancillary agreements address IP transfer, non-compete, seller financing security, registration rights, leak-out limits, and conditions to close. The transaction is designed to expand Cycurion’s product portfolio and customer base while aligning incentives around post-close performance.

**Agreement 1: Cycurion to Acquire Kustom Video-Solutions Assets for $1.25M Cash, $4.25M Note, Warrants**

-   **Agreement type**: Asset Purchase Agreement
-   **Counterparty**: Kustom Entertainment
-   **Signed / Effective**: Jun 24 2026 / Jun 24 2026
-   **Duration / Termination**: N/A
-   **Reason**: Expand into video-surveillance and evidence management solutions

**Agreement 2: Cycurion and Kustom Sign Assignment and Assumption Agreement for Selected Liabilities**

-   **Agreement type**: Assignment and Assumption Agreement
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: N/A
-   **Reason**: Define transferred assets and limit assumed obligations

**Agreement 3: Cycurion to Receive Patents and Marks Under IP Assignment From Kustom**

-   **Agreement type**: Intellectual Property Assignment Agreement
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: N/A
-   **Reason**: Secure ownership of core video-solutions IP assets

**Agreement 4: Cycurion and Kustom Execute Bill of Sale for Transferred Assets**

-   **Agreement type**: Bill of Sale
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: N/A
-   **Reason**: Effectuate transfer of acquired assets at closing

**Agreement 5: Cycurion Secures Three-Year Non-Compete and Non-Solicit From Kustom**

-   **Agreement type**: Non-Competition and Non-Solicitation Agreement
-   **Counterparty**: Kustom Entertainment
-   **Signed / Effective**: N/A / N/A
-   **Duration / Termination**: 3 years
-   **Reason**: Protect acquired business and customer relationships

**Agreement 6: Cycurion Offers Employment to Key Personnel With Equity and Severance Terms**

-   **Agreement type**: Key Employment Agreement
-   **Duration / Termination**: At will
-   **Reason**: Retain leadership to ensure smooth integration

**Agreement 7: Cycurion Extends Offers to Essential Employees of Acquired Business**

-   **Agreement type**: Essential Employment Agreement
-   **Duration / Termination**: At will
-   **Reason**: Preserve operational continuity post-acquisition

**Agreement 8: Cycurion Issues $4.25M Secured Note at 7% to Kustom as Deal Consideration**

-   **Agreement type**: Secured Promissory Note (7.0%, 36 months)
-   **Counterparty**: Kustom Entertainment
-   **Signed / Effective**: N/A / N/A
-   **Duration / Termination**: 3 years
-   **Reason**: Finance a portion of the purchase price

**Agreement 9: Cycurion Grants First-Priority Lien on Acquired Assets Under Security Agreement**

-   **Agreement type**: Security Agreement (first-priority lien on acquired assets)
-   **Counterparty**: Kustom Entertainment
-   **Signed / Effective**: N/A / N/A
-   **Duration / Termination**: Until obligations repaid
-   **Reason**: Provide collateral for seller financing

**Agreement 10: Cycurion to Issue 2,000,000 Warrants at $2.80 to Kustom Post-Registration**

-   **Agreement type**: Warrant Agreement (2,000,000 shares at $2.80)
-   **Counterparty**: Kustom Entertainment
-   **Signed / Effective**: N/A / N/A
-   **Duration / Termination**: 2 years post-effectiveness
-   **Reason**: Align incentives and complete purchase consideration

**Agreement 11: Cycurion Commits to Register Resale of Warrant Shares for Kustom**

-   **Agreement type**: Registration Rights Agreement
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: Until Rule 144 availability or sale completion
-   **Reason**: Provide liquidity path for warrant shares

**Agreement 12: Cycurion and Kustom Set Two-Year Revenue-Based Earnout and Clawback**

-   **Agreement type**: Earnout and Clawback Agreement
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: 2 years
-   **Reason**: Align price with post-close revenue performance

**Agreement 13: Kustom Agrees to 12-Month Leak-Out on Cycurion Warrant Share Sales**

-   **Agreement type**: Leak-Out Agreement (12 months)
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: 12 months
-   **Reason**: Support orderly market for warrant share resales

**Agreement 14: Cycurion Sets Conditions Precedent for Closing Kustom Asset Acquisition**

-   **Agreement type**: Conditions Precedent Agreement
-   **Counterparty**: Kustom Entertainment
-   **Duration / Termination**: Until closing conditions satisfied or waived
-   **Reason**: Ensure readiness for closing and SEC reporting

Original SEC Filing: Cycurion, Inc. \[ CYCU \] - 8-K - Jun. 30, 2026

**Disclaimer**

This is an AI-powered summary. It may contain inaccuracies. Consider verifying important information with the source. Please note this summary is solely based on documents filed with the SEC.

### Related Stocks

- [CYCU.US](https://longbridge.com/en/quote/CYCU.US.md)
- [KUST.US](https://longbridge.com/en/quote/KUST.US.md)
- [CYCUW.US](https://longbridge.com/en/quote/CYCUW.US.md)

## Related News & Research

- [Cycurion enters warrant inducement for exercise of 3,341,439 warrants at $1.35/share, raising USD 4.5 million](https://longbridge.com/en/news/294513409.md)
- [Cycurion Authorized To Repurchase Up To $500K Of Shares](https://longbridge.com/en/news/296113193.md)
- [Karman Line Acquisition says units begin trading separately into shares, warrants Aug. 27](https://longbridge.com/en/news/297045620.md)
- [Autonomix Medical Raises $4.9 Million via Warrant Exercise, Issues New Five-Year Warrants](https://longbridge.com/en/news/297088554.md)
- [Inhalation Sciences sets warrant exercise price at SEK 0.12 per share](https://longbridge.com/en/news/296936023.md)

---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**