Cycurion Updates Acquisition Agreement with Kustom Entertainment
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 21 2026
0mins
Cycurion (CYCU) provided an update on the revised non-binding Memorandum of Understanding, MOU, with Kustom Entertainment (KUST) for the acquisition of Kustom's legacy video solutions segment. The transaction is expected to contribute approximately $5.1M in annual revenue and an estimated $8M backlog comprised of established contracts and recurring subscription revenue. These figures are based on the pro forma financials jointly prepared by both parties and are consistent with the segment's historical performance. Both parties plan to work diligently to close the transaction as quickly as possible, targeting completion by the beginning of June 2026, subject to final due diligence, execution of a definitive agreement, and satisfaction of customary closing conditions.
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Analyst Views on CYCU
About CYCU
Cycurion, Inc. is a cybersecurity and artificial intelligence (AI)-powered information technology (IT) solutions provider. The Company provides custom solutions for its clients by adapting its knowledge base to create solutions to serve its client's IT and cybersecurity needs. Its consulting and advisory services include security control assessments, security architecture and engineering, risk management and compliance audits, staff augmentation, cybersecurity awareness and training, cloud security, virtual CISO support, and digital modernization. Its Managed Security Service includes 24/7 monitoring, threat detection, incident response, and remediation. The Cycurion ARx platform is a turnkey web application protection and managed security solution that combines the essential cybersecurity layers in a customizable platform. Its platform offers Geo Gate Protection, denial-of-service (DoS) Protection, Web Application Firewall (WAF) and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Cycurion Acquires Halo Privacy to Enhance Security Capabilities
- Strategic Acquisition: Cycurion announced the acquisition of Halo Privacy, expected to close by the end of June 2026, significantly expanding its core capabilities in national security and cybersecurity, thereby enhancing its market position in both government and private sectors.
- Revenue Growth: Halo Privacy generated $7 million in total revenue in 2025, with $5.5 million in high-quality annual recurring revenue (ARR), demonstrating a stable revenue model anchored by long-term contracts with U.S. government agencies, which constitute approximately 95% of its business.
- Technology Integration: The integration of HavenX's digital investigation and cybersecurity expertise with Halo Privacy's secure communications infrastructure creates a seamless AI-augmented platform that provides proactive intelligence and effective defense capabilities, enhancing overall service security in hostile digital environments.
- Market Expansion Opportunities: Cycurion plans to leverage Halo Privacy's technology for investment banks, healthcare organizations, and high-net-worth individuals, addressing the growing demand for secure communications, which is expected to drive rapid growth in the private sector.
See More
Cycurion Acquires Halo Privacy to Enhance Growth Strategy
- Acquisition Agreement: Cycurion has executed a binding agreement to acquire Halo Privacy, expecting to close the transaction within 45 days, which will add approximately $7 million in revenue and $5.5 million in annual recurring revenue, significantly enhancing the company's financial performance.
- Strategic Transformation: This acquisition aligns with CEO Kevin Kelly's vision to transform Cycurion into a technology-driven AI security company, expanding into the retail consumer market and greatly increasing accessibility to enterprise-grade security tools.
- Product Integration and Synergies: The combination of Halo Privacy's Halo Link application with HavenX's digital investigation capabilities provides secure anonymous communications and real-time threat attribution, enhancing overall operational efficiency for public safety and national security users.
- Market Expansion Potential: Through this acquisition, Cycurion not only strengthens its competitive position in the secure communications and digital privacy markets but also lays the groundwork for future growth, expected to attract more government and enterprise clients and drive sustained development.
See More
Cycurion Secures $6 Million Contract with Major U.S. Municipality
- Significant Contract Value: Cycurion has secured a $6 million purchase order under a Master Services Agreement with a major U.S. municipality, which is expected to provide a stable revenue stream and enhance its position in the municipal technology services market.
- Long Contract Duration: The base term of the contract is three years, with two additional one-year option periods, allowing the company to potentially secure more revenue over the next five years, with an expected annual lock-in of $15 to $17 million from 2026 to 2028.
- Confidence in Business Growth: Cycurion's total contracted backlog has reached $112 million, and with the addition of this new contract, the company has increased visibility into future revenues, with the CEO expressing confidence in sustained growth that will drive the execution of its profitable growth strategy.
- Enhanced Market Position: This contract win not only solidifies Cycurion's standing in the municipal technology services market but also highlights its role as a trusted partner for large government entities, driving business development in cybersecurity and digital transformation.
See More
CYCURION INC - INITIAL CONTRACT DURATION IS THREE YEARS, WITH TWO OPTIONAL ONE-YEAR EXTENSIONS AVAILABLE.
- Contract Duration: The contract is set for three years.
- Additional Funding: There are two additional one-year options for funding periods.
See More
CYCURION INC RECEIVES $6 MILLION PURCHASE ORDER FROM SIGNIFICANT U.S. CITY UNDER MSA/IDIQ CONTRACT
- Awarded Contract: A $6 million purchase order has been awarded under a contract by a major U.S. municipality.
- Contract Details: The contract is related to the CURION INC. and involves services or products for the municipality.
See More
Cycurion to Acquire Kustom's Video Solutions Segment
- Transaction Overview: Cycurion has revised its non-binding MOU with Kustom Entertainment to acquire Kustom's legacy video solutions segment, which is expected to contribute approximately $5.1 million in annual revenue and an $8.0 million backlog, indicating strong financial potential aligned with historical performance.
- Deal Structure: The agreed purchase price of $5.5 million includes a $1.25 million cash payment at closing and a $4.25 million secured promissory note, along with additional warrants and performance-based earn-out provisions, showcasing Cycurion's flexible financial arrangements to mitigate risks in the acquisition.
- Integration Strategy: Cycurion plans to integrate Kustom's video surveillance and digital evidence management capabilities with its ARx cybersecurity platform, thereby enhancing its public safety and security solutions, which will further strengthen its competitive position in the market.
- Timeline and Execution: Both parties aim to close the transaction by early June 2026; although the MOU is non-binding, the accelerated timeline reflects strong confidence in the transaction's success, suggesting that Cycurion's rapid growth strategy will continue to advance.
See More
Cycurion Acquires Halo Privacy to Enhance Security Capabilities
- Strategic Acquisition: Cycurion announced the acquisition of Halo Privacy, expected to close by the end of June 2026, significantly expanding its core capabilities in national security and cybersecurity, thereby enhancing its market position in both government and private sectors.
- Revenue Growth: Halo Privacy generated $7 million in total revenue in 2025, with $5.5 million in high-quality annual recurring revenue (ARR), demonstrating a stable revenue model anchored by long-term contracts with U.S. government agencies, which constitute approximately 95% of its business.
- Technology Integration: The integration of HavenX's digital investigation and cybersecurity expertise with Halo Privacy's secure communications infrastructure creates a seamless AI-augmented platform that provides proactive intelligence and effective defense capabilities, enhancing overall service security in hostile digital environments.
- Market Expansion Opportunities: Cycurion plans to leverage Halo Privacy's technology for investment banks, healthcare organizations, and high-net-worth individuals, addressing the growing demand for secure communications, which is expected to drive rapid growth in the private sector.
See More
Cycurion Acquires Halo Privacy to Enhance Growth Strategy
- Acquisition Agreement: Cycurion has executed a binding agreement to acquire Halo Privacy, expecting to close the transaction within 45 days, which will add approximately $7 million in revenue and $5.5 million in annual recurring revenue, significantly enhancing the company's financial performance.
- Strategic Transformation: This acquisition aligns with CEO Kevin Kelly's vision to transform Cycurion into a technology-driven AI security company, expanding into the retail consumer market and greatly increasing accessibility to enterprise-grade security tools.
- Product Integration and Synergies: The combination of Halo Privacy's Halo Link application with HavenX's digital investigation capabilities provides secure anonymous communications and real-time threat attribution, enhancing overall operational efficiency for public safety and national security users.
- Market Expansion Potential: Through this acquisition, Cycurion not only strengthens its competitive position in the secure communications and digital privacy markets but also lays the groundwork for future growth, expected to attract more government and enterprise clients and drive sustained development.
See More
Cycurion Secures $6 Million Contract with Major U.S. Municipality
- Significant Contract Value: Cycurion has secured a $6 million purchase order under a Master Services Agreement with a major U.S. municipality, which is expected to provide a stable revenue stream and enhance its position in the municipal technology services market.
- Long Contract Duration: The base term of the contract is three years, with two additional one-year option periods, allowing the company to potentially secure more revenue over the next five years, with an expected annual lock-in of $15 to $17 million from 2026 to 2028.
- Confidence in Business Growth: Cycurion's total contracted backlog has reached $112 million, and with the addition of this new contract, the company has increased visibility into future revenues, with the CEO expressing confidence in sustained growth that will drive the execution of its profitable growth strategy.
- Enhanced Market Position: This contract win not only solidifies Cycurion's standing in the municipal technology services market but also highlights its role as a trusted partner for large government entities, driving business development in cybersecurity and digital transformation.
See More
CYCURION INC - INITIAL CONTRACT DURATION IS THREE YEARS, WITH TWO OPTIONAL ONE-YEAR EXTENSIONS AVAILABLE.
- Contract Duration: The contract is set for three years.
- Additional Funding: There are two additional one-year options for funding periods.
See More
CYCURION INC RECEIVES $6 MILLION PURCHASE ORDER FROM SIGNIFICANT U.S. CITY UNDER MSA/IDIQ CONTRACT
- Awarded Contract: A $6 million purchase order has been awarded under a contract by a major U.S. municipality.
- Contract Details: The contract is related to the CURION INC. and involves services or products for the municipality.
See More
Cycurion to Acquire Kustom's Video Solutions Segment
- Transaction Overview: Cycurion has revised its non-binding MOU with Kustom Entertainment to acquire Kustom's legacy video solutions segment, which is expected to contribute approximately $5.1 million in annual revenue and an $8.0 million backlog, indicating strong financial potential aligned with historical performance.
- Deal Structure: The agreed purchase price of $5.5 million includes a $1.25 million cash payment at closing and a $4.25 million secured promissory note, along with additional warrants and performance-based earn-out provisions, showcasing Cycurion's flexible financial arrangements to mitigate risks in the acquisition.
- Integration Strategy: Cycurion plans to integrate Kustom's video surveillance and digital evidence management capabilities with its ARx cybersecurity platform, thereby enhancing its public safety and security solutions, which will further strengthen its competitive position in the market.
- Timeline and Execution: Both parties aim to close the transaction by early June 2026; although the MOU is non-binding, the accelerated timeline reflects strong confidence in the transaction's success, suggesting that Cycurion's rapid growth strategy will continue to advance.
See More
