---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-26-001231"
form_type: "8-K"
ticker: "KUST"
cik: "0001342958"
company_name: "KUSTOM ENTERTAINMENT, INC."
filed_at: "2026-01-12T23:59:59+00:00"
generated_at: "2026-05-16T10:48:24.140616+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.5
calibrated_materiality_score: 0.5
confidence: "high"
source: SEC EDGAR
---

# Kustom Entertainment sells 51% healthcare stake for $1.45M to focus on live events

## Summary
- Sold 51% ownership in Nobility Healthcare to minority owner for $100k cash, $209.5k credits, and $1.14M promissory note at 6% interest.
- Transaction closed Jan 8, 2026, effective Jan 1, 2026.
- Pro forma nine-month 2025 revenue would be $10.5M vs historical $14.6M; net loss attributable to common $1.43M vs $1.30M.
- Company pivots to live entertainment and online ticketing, citing $100B global market; expands Country Stampede festival.

## SEC filing metadata
- accession: 0001493152-26-001231
- form_type: 8-K
- ticker: KUST
- cik: 0001342958
- company_name: KUSTOM ENTERTAINMENT, INC.
- filed_at: 2026-01-12T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.5
- calibrated_materiality_score: 0.5
- confidence: high
- sec_items: 1.01, 2.01, 9.01, 8.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1342958/000149315226001231/0001493152-26-001231-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1342958/000149315226001231/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-26-001231
- JSON: https://secwatch.observer/filing/0001493152-26-001231.json
- Plain text: https://secwatch.observer/filing/0001493152-26-001231.txt

## Source-grounded claims
- claim_id: 6b560fdc0a43d63226f3e11bab47a62b2ac0b2f7
  claim: KUSTOM ENTERTAINMENT, INC. completed a disposition involving Nobility LLC for $1,450,000 (closed 2026-01-08).
  evidence_excerpt: On January 8, 2026, Digital Ally Healthcare, Inc. (the “Seller”), a Nevada corporation and a wholly-owned subsidiary of Kustom Entertainment, Inc. (the “Company”) entered into and closed a Unit Purchase Agreement (the “Agreement”) with Nobility LLC, an Arizona limited liability company (the “Buyer”), and Nobility Healthcare, LLC, a Kansas limited liability company (“Nobility Healthcare” and collectively with the Seller and the Buyer the “Parties”). Pursuant to the Agreement, the Buyer purchased all of the Seller’s units of ownership interest (“Units”) in Nobility Healthcare, for Closing Funds (as defined in the Agreement) and a promissory note (the “Note”), totaling $ 1,450,000, due upon closing (the “Transaction”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/1342958/000149315226001231/0001493152-26-001231-index.htm
- claim_id: b3c7919dee529d5284146bf49bfc77df1b09a4ba
  claim: KUSTOM ENTERTAINMENT, INC. entered into Unit Purchase Agreement with Nobility LLC valued at $1,450,000 (effective 2026-01-01).
  evidence_excerpt: On January 8, 2026, Digital Ally Healthcare, Inc. (the “Seller”), a Nevada corporation and a wholly-owned subsidiary of Kustom Entertainment, Inc. (the “Company”) entered into and closed a Unit Purchase Agreement (the “Agreement”) with Nobility LLC, an Arizona limited liability company (the “Buyer”), and Nobility Healthcare, LLC, a Kansas limited liability company (“Nobility Healthcare” and collectively with the Seller and the Buyer the “Parties”). Pursuant to the Agreement, the Buyer purchased all of the Seller’s units of ownership interest (“Units”) in Nobility Healthcare, for Closing Funds (as defined in the Agreement) and a promissory note (the “Note”), totaling $ 1,450,000, due upon closing (the “Transaction”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/1342958/000149315226001231/0001493152-26-001231-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.