---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-26-017152"
form_type: "8-K"
ticker: "KUST"
cik: "0001342958"
company_name: "KUSTOM ENTERTAINMENT, INC."
filed_at: "2026-04-17T23:59:59+00:00"
generated_at: "2026-05-15T05:28:53.600622+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.55
calibrated_materiality_score: 0.55
confidence: "high"
source: SEC EDGAR
---

# Kustom revises MOU with Cycurion to sell video segment for $5.5M, targeting close by June 30, 2026

## Summary
- Total purchase price $5.5M: $1.25M cash at closing, $4.25M secured note at 7% over 36 months, plus 2M warrants at $2.80.
- Warrants have two-year term after shares become registered; exercise price $2.80.
- Earn-out/clawback up to $1M based on net income milestones over one- and three-year periods.
- Expected closing on or before June 30, 2026; 30-day no-shop exclusivity period.
- Replaces prior MOU from January 22, 2026.

## SEC filing metadata
- accession: 0001493152-26-017152
- form_type: 8-K
- ticker: KUST
- cik: 0001342958
- company_name: KUSTOM ENTERTAINMENT, INC.
- filed_at: 2026-04-17T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.55
- calibrated_materiality_score: 0.55
- confidence: high
- sec_items: 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1342958/000149315226017152/0001493152-26-017152-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1342958/000149315226017152/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-26-017152
- JSON: https://secwatch.observer/filing/0001493152-26-017152.json
- Plain text: https://secwatch.observer/filing/0001493152-26-017152.txt

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