KUSTOM ENTERTAINMENT’S TICKETSMARTER NAMED AMONG "10 BEST TICKET RESALE SITES OF 2026" BY FORBES ADVISOR

Rhea-AI Summary

Kustom Entertainment (Nasdaq: KUST) said its subsidiary TicketSmarter was named one of the 10 Best Ticket Resale Sites of 2026 by Forbes Advisor on February 6, 2026, highlighting pricing transparency, buyer protections, and low seller commissions.

The company reaffirmed its strategic pivot to a pure-play live events and proprietary ticketing model, noted completion of the divestiture of its revenue-cycle management business, and disclosed a non-binding MOU to divest its video solutions division.

Positive

• Forbes Advisor recognition as a 2026 top-10 resale site
• Completed divestiture of revenue-cycle management business
• Platform scale supporting 125,000+ events across North America
• Focus on ticketing with Country Stampede 30th anniversary June 2026

Negative

• Business concentration increases due to divestitures away from non-core services
• Video solutions sale governed by a non-binding MOU, creating execution uncertainty

Key Figures

Live entertainment market size: $100 billion Events supported: 125,000+ events Seller commissions: 10% +5 more

8 metrics

Live entertainment market size $100 billion Global live entertainment market referenced in recognition

Events supported 125,000+ events TicketSmarter platform coverage across North America

Seller commissions 10% Commissions as low as 10% for returning sellers

Video division value $6.0M–$8.5M Estimated transaction value in Cycurion MOU

Cash portion (video MOU) $1.0M–$1.4M Cash consideration range in video solutions divestiture MOU

Nobility divestiture proceeds $1.45M Estimated total proceeds for 51% Nobility Healthcare stake

Cash received (Nobility) $100,000 Immediate cash component of Nobility Healthcare sale

Promissory note $1,140,499 Note at 6% from Nobility Healthcare divestiture

Market Reality Check

Price: $1.37 Vol: Volume 122,753 is far bel...

low vol

$1.37 Last Close

Volume Volume 122,753 is far below the 20-day average of 7,079,839, suggesting limited pre-news participation. low

Technical Price at $1.37 is trading below the 200-day MA of $1.98, reflecting a weaker longer-term trend.

Peers on Argus

KUST’s -4.2% move occurred without any peers in the momentum scanner, pointing t...

KUST’s -4.2% move occurred without any peers in the momentum scanner, pointing to stock-specific trading rather than a sector-wide move.

Historical Context

2 past events · Latest: Jan 22 (Positive)

Pattern 2 events

Date	Event	Sentiment	Move	Catalyst
Jan 22	Asset divestiture	Positive	-5.1%	Announced MOU to divest video solutions division for $6.0–$8.5 million.
Jan 12	Asset divestiture	Positive	-17.4%	Completed sale of 51% Nobility Healthcare stake to refocus on entertainment.

Pattern Detected

Recent strategic divestiture announcements were followed by negative price reactions, indicating a pattern of selling into portfolio-shift news.

Recent Company History

Over the past month, Kustom Entertainment has executed a clear shift toward live events and online ticketing. On Jan 8, 2026, it completed the divestiture of its 51% stake in Nobility Healthcare for estimated proceeds of $1.45 million, and on Jan 22, 2026 it announced an MOU to sell its video solutions division valued at $6.0–$8.5 million. Both events saw share price declines despite the strategic focus on the $100 billion live entertainment market.

Market Pulse Summary

This announcement underscores Kustom Entertainment’s pivot toward a focused live events and ticketin...

Analysis

This announcement underscores Kustom Entertainment’s pivot toward a focused live events and ticketing strategy, with TicketSmarter recognized for transparent pricing, buyer protections, and low seller commissions. It follows recent divestitures, including estimated proceeds of $1.45 million from Nobility Healthcare and an MOU valuing the video division at $6.0–$8.5 million. Investors may watch future updates on revenue traction, festival execution, and integration of the rebranded platform.

Key Terms

non-binding Memorandum of Understanding, preferred stock, promissory note, earn-outs

4 terms

non-binding Memorandum of Understanding regulatory

"entered into a non-binding Memorandum of Understanding (“MOU”) with Cycurion, Inc."

A non-binding memorandum of understanding is a written outline of the main terms and intentions between parties that signals they are negotiating a potential deal but does not create enforceable legal obligations. Think of it as a detailed handshake that helps investors read a company's likely direction and near-term plans, while reminding them the final agreement, price or timeline can still change.

preferred stock financial

"remainder paid in Cycurion preferred stock."

Preferred stock is a type of ownership in a company that typically offers investors higher and more consistent dividend payments than common stock. Unlike regular shares, preferred stock usually doesn’t come with voting rights but provides a priority claim on the company’s assets and profits, making it a more stable and predictable investment option. This makes preferred stock attractive to those seeking steady income with lower risk.

promissory note financial

"and a $1,140,499 promissory note at 6% with quarterly payments"

A promissory note is a written IOU in which one party promises to pay a specific sum, often with interest, to another party by a set date or on demand. Investors care because it functions like a loan: it creates a legal claim on future cash flows, carries credit and timing risk, and can affect valuation or liquidity—think of it as a formal, tradable promise to be repaid that can be assessed like any other debt investment.

earn-outs financial

"with quarterly payments beginning July 2026 and certain earn-outs."

Earn-outs are contingent future payments a seller of a business receives after a sale if the company hits agreed performance targets over a fixed period—such as revenue, profit, or customer milestones. They matter to investors because they alter the deal’s effective price and future cash flows, align seller and buyer incentives, and introduce measurement and timing risk—think of it like part of a sale price being paid later only if promised results are delivered.

AI-generated analysis. Not financial advice.

COMPANY ACCELERATES STRATEGIC PIVOT TO PURE-PLAY ENETERTAINMENT MODEL

OVERLAND PARK, KS, Feb. 10, 2026 (GLOBE NEWSWIRE) -- Kustom Entertainment, Inc. (Nasdaq: KUST) (“Kustom Entertainment” or the “Company”), a leader in live event production and online ticketing, today announced that its subsidiary, TicketSmarter, Inc. has been named one of the 10 Best Ticket Resale Sites of 2026 by Forbes Advisor.

Pursuant to its comprehensive review, Forbes Advisor highlighted TicketSmarter as a Best Resale Site for Tickets, on February 6, 2026, specifically citing the platform’s pricing transparency, competitive seller fees, and industry-leading buyer protections as key differentiators in the $100 billion global live entertainment market. The full article may be found at: https://www.forbes.com/advisor/credit-cards/travel-rewards/best-ticket-resale-sites/

“We are honored to receive this recognition from Forbes Advisor, which serves as a powerful validation of our fan-first philosophy,” said Stanton Ross, CEO of Kustom Entertainment. “As we continue our strategic pivot to focus exclusively on live events and proprietary ticketing, recognitions like this underscore the value TicketSmarter provides to both buyers and sellers. We remain committed to providing a secure, transparent, and seamless experience for the 125,000+ events we support across North America.”

Forbes Advisor’s "Expert Take" on TicketSmarter: According to the Forbes report, TicketSmarter earned its high ranking through several core strengths:

• Pricing Transparency: Recognized for clearly communicating total costs, including service fees, before the checkout process.
• Strong Buyer Protections: Forbes highlighted TicketSmarter’s 100% Ticket Guarantee, which ensures fans receive valid tickets in time for the event or a full refund if an event is cancelled and not rescheduled.
• Low Seller Commissions: The report noted TicketSmarter’s seller-friendly model, offering commissions as low as 10% for returning sellers, significantly lower than many industry competitors.
• Massive Reach: With a promise to list tickets on “thousands of websites” via partner networks, TicketSmarter provides sellers with maximum visibility for their listings.

This accolade comes during a transformative period for Kustom Entertainment. Following our recent rebranding and successful divestiture of non-core assets, the Company is doubling down on its ticketing platform, including the Country Stampede Music Festival, which celebrates its 30th anniversary in June 2026. Kustom has recently completed the divestiture of its revenue-cycle management business which provides medical billing services. In addition, the Company recently announced that it has entered into a non-binding Memorandum of Understanding (“MOU”) with Cycurion, Inc. (NASDAQ: CYCU) (“Cycurion”) to divest its legacy video solutions division. The divestiture of the Company’s video solutions business supports Kustom’s strategic focus on its rapidly growing live event production and proprietary online ticketing operations, aligning with its broader rebranding initiative and new Nasdaq ticker symbol “KUST”.

About TicketSmarter - is a proud member of the Kustom Entertainment, Inc. (Nasdaq: KUST) family and a leading online ticket marketplace based in Overland Park, Kansas. TicketSmarter offers tickets to more than 125,000 live events, including concerts, sports, theater, and family shows. As a primary and secondary ticketing solution, TicketSmarter partners with more than 300 professional sports teams and collegiate athletic departments to provide fans with a safe and reliable way to experience live entertainment.

For more information about TicketSmarter and to browse tickets for over 125,000 live events, visit www.TicketSmarter.com.

About Kustom Entertainment, Inc. - Kustom Entertainment, Inc. is a leader in live event production and ticketing technology, specializing in large-scale music festivals and end-to-end event management. Its flagship event, Country Stampede, is held annually at the Azura Amphitheater in Bonner Springs, Kansas.

Kustom’s flagship event, the Country Stampede Music Festival celebrates its 30th year in 2026, featuring a dynamic mix of legacy and rising acts, including Rascal Flatts, Zach Top, and Treaty Oak Revival. The company plans to leverage the success of this festival as a model for expanding its nationwide-event production and integrated ticketing services.

The Company also maintains a legacy segment engaged in video solution technology (in-car and body-worn cameras) for law enforcement and security, currently integrating artificial intelligence to enhance its specialized product lines.

For additional information, please visit www.kustom440.com and www.digitalally.com.

Forward-Looking Statements

Statements made in this press release that are not descriptions of historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on management’s current expectations and assumptions and are subject to risks and uncertainties. If such risks or uncertainties materialize or such assumptions prove incorrect, our business, operating results, financial condition, and stock price could be materially negatively affected. You should not place undue reliance on such forward-looking statements, which are based on the information currently available to us and speak only as of today’s date. All statements other than statements of historical fact are forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause the Company’s performance or achievements to differ materially from any expected future results, performance, or achievements. Forward-looking statements speak only as of the date they are made, and the Company assumes no obligation to update forward-looking statements, except as required by law. Actual future results, performance, or achievements may differ materially from historical results or those anticipated depending on a variety of factors, some of which are beyond the Company’s control, including, but not limited to, the risks described from time to time in the Company’s periodic filings with the U.S. Securities and Exchange Commission, including, without limitation, the risks described in the Company’s 2024 Annual Report on Form 10-K under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” (as applicable). These factors should be considered carefully, and readers are cautioned not to place undue reliance on such forward-looking statements. All information is current as of the date this press release is issued, and the Company undertakes no duty to update this information.

For Additional Information, Please Contact:

Stanton E. Ross, CEO at (913) 456-5878 

FAQ

What recognition did TicketSmarter receive from Forbes Advisor on February 6, 2026?

TicketSmarter was named one of the 10 Best Ticket Resale Sites of 2026. According to the company, Forbes highlighted pricing transparency, low seller commissions, and a 100% Ticket Guarantee as key reasons for the ranking.

How many events does Kustom Entertainment support with TicketSmarter in 2026 (KUST)?

Kustom supports 125,000+ events across North America via TicketSmarter. According to the company, this scale underpins its marketplace reach and distribution via partner networks for sellers and buyers.

What divestitures did Kustom Entertainment announce to focus on live events (KUST)?

Kustom completed the divestiture of its revenue-cycle management business and signed a non-binding MOU to divest video solutions. According to the company, these moves align operations with a pure-play live events and ticketing strategy.

What buyer protections does TicketSmarter offer that Forbes Advisor cited?

TicketSmarter provides a 100% Ticket Guarantee for valid tickets or full refunds. According to the company, Forbes singled out this guarantee and timely delivery protections as core buyer safeguards.

How does the Forbes ranking affect Kustom Entertainment’s strategy and brand (KUST)?

The recognition reinforces Kustom’s pivot to live events and proprietary ticketing. According to the company, these accolades validate its fan-first approach and support marketing and growth initiatives tied to TicketSmarter.