IQSTEL and Cycurion Execute $1 Million Stock Exchange, Announce Dividend Distribution and Strategic AI Cybersecurity Alliance

Core Viewpoint - IQSTEL Inc. and Cycurion Inc. have finalized a $1 million stock exchange agreement, enhancing their strategic alliance to develop AI-driven cybersecurity solutions [1][6]. Agreement Details - Each company will issue $1 million worth of its common stock to the other, with the number of shares determined by the applicable per-share price [2][8]. - The per-share price will be the lower of the Nasdaq Official Closing Price on September 2, 2025, or the average closing price over the five trading days prior [8]. Dividend Distribution - Both companies plan to distribute up to 50% of the shares received as a stock dividend to their shareholders, effectively creating co-ownership among investors [3][4]. - The record date for the dividend will be announced later, and short sellers will not be entitled to the dividend [4]. Shareholder Value Enhancement - The stock exchange is designed to align long-term interests, foster cross-selling opportunities, and maximize value creation for a combined shareholder base of over 30,000 [5][6]. - The transaction is expected to deliver immediate value through the planned dividend distribution [6]. Complementary Strengths - The collaboration aims to develop a state-of-the-art AI-driven cybersecurity solution by combining IQSTEL's AI technologies with Cycurion's cybersecurity expertise [7][10]. - The partnership is anticipated to create powerful synergies, particularly in U.S. government markets and global telecom [6][10]. Future Outlook - This transaction marks the beginning of a mutual equity journey, with both companies exploring deeper collaboration opportunities, including joint ventures and expanded AI R&D [11]. - The companies aim to scale revenues and capture additional market share through new go-to-market strategies [11].