Executive Summary / Key Takeaways

• Strategic Pivot to Defense: SkyTech Orion Global Corp. (formerly Citrine Global Corp.) has undergone a profound strategic transformation, shifting its core focus from plant-based wellness to the high-growth, high-demand defense-grade Unmanned Systems (UMS) and drone sector, driven by geopolitical shifts and national priorities in Israel.
• Technological Differentiation & Government Backing: The company's proprietary multi-domain modular system for unmanned platforms, designed for scalable production using Western-approved components, positions it uniquely. This is significantly bolstered by a NIS 12.5 million (approximately $3.4 million) Israeli government grant for its SkyTech Innovation and Production Center in Yerucham.
• Early-Stage Financials Reflect Transition: While the company reported no revenues for the six months ended June 30, 2025, and a net loss of $942,000, these figures reflect its early-stage investment in the new defense strategy. Increased R&D expenses and a working capital deficiency are characteristic of a company in a transformative growth phase.
• Robust Liquidity & Outlook: Despite current losses, management projects sufficient funds for the next twelve months, supported by an extended credit facility and the significant government grant. The vision includes producing hundreds of thousands of FPV drones annually and evaluating a U.S.-based production center, signaling aggressive market expansion.
• High-Growth Market, High Risks: SkyTech Orion is tapping into a rapidly expanding global defense drone market, but faces inherent risks from geopolitical instability, stringent regulatory compliance, and the challenge of achieving sustainable profitability in a capital-intensive sector.

From Wellness to Wings: A Strategic Metamorphosis

SkyTech Orion Global Corp. (OTCMKTS:CTGL), previously known as Citrine Global Corp., is undergoing a dramatic strategic metamorphosis, pivoting from its historical roots in plant-based wellness to become a formidable player in the defense-grade Unmanned Systems (UMS) and drone industry. This profound shift, solidified in late 2024 and early 2025, represents a decisive response to evolving geopolitical realities and a strategic realignment with national priorities in Israel, where the company's core operations are based.

For years, the company, incorporated in 2010, focused on developing plant-based wellness and pharma solutions, including nutritional supplements and cosmetics, and held minority stakes in entities like iBOT Israel Botanicals Ltd. and MyPlant Bio Ltd. This era saw the acquisition of industrial land in Yerucham, Israel, initially earmarked for a plant-based innovation center. However, the outbreak of war in Israel in October 2023 profoundly disrupted these plans, causing significant delays in product development, fundraising, and international market launches. Management recognized that the wellness-focused strategy was no longer sufficient to drive growth in the altered economic landscape.

The global landscape for unmanned systems is experiencing explosive growth, fundamentally reshaping modern warfare. Conflicts in Ukraine and Israel have underscored the strategic value of drones, with reports indicating that drones are responsible for 60-70% of battlefield damage and most casualties in Ukraine. This has created a "zone of continuous death" up to 15 kilometers from front lines. Market projections reflect this urgency, with the aerial systems market expected to reach $163.6 billion by 2030, growing at a CAGR of 14.3%. Specifically, the global market for tactical small drones and autonomous loitering systems is projected to surge from $6.4 billion in 2025 to $11.25 billion by 2030. This backdrop of escalating demand and strategic importance provides the fertile ground for SkyTech Orion's new direction.

Technological Edge: SkyTech's Modular Multi-Domain Systems

At the heart of SkyTech Orion's new strategy lies its proprietary "unique multi-domain modular system for unmanned platforms." This innovative solution is engineered for versatility, designed to operate across air, sea, land, and advanced robotic configurations. The system is built upon a distinctive development methodology that enables not only operational deployment in the field but also large-scale serial production capabilities, aiming for hundreds of thousands, and potentially millions, of units in an efficient, rapid, and cost-effective manner.

A critical differentiator for SkyTech Orion is its unwavering focus on integrating approved Western defense-grade components. This strategic choice directly addresses the escalating demand for compliance with stringent regulatory and security standards in international markets, particularly in Israel, the United States, and other Western countries. This commitment ensures that SkyTech's systems meet the most rigorous defense requirements, thereby facilitating market penetration into key global defense sectors. As an initial implementation of this broader concept, the company has developed a modular First Person View (FPV) drone. This FPV drone is specifically designed to meet the evolving operational needs of defense forces, characterized by its compact, agile, and adaptable nature, and built with trusted components that adhere to international defense standards, including NDAA, ITAR, and Israeli MOD requirements. This technological foundation, combined with a clear path to mass production, forms a significant competitive moat, positioning SkyTech Orion for substantial sales potential in the global unmanned systems market.

Strategic Foundation: The SkyTech Innovation and Production Center

The strategic pivot is anchored by the establishment of the SkyTech Innovation and Production Center in Yerucham, Israel. This initiative received a monumental boost on January 12, 2025, when the company was officially selected by the Government of Israel to lead a flagship national project in the military UMS and drone sector. This designation came with a significant development grant of NIS 12.5 million (approximately $3.4 million) from the Israeli Ministry of Economy, structured as reimbursements for approximately 37.5% of eligible expenses related to the center's establishment.

The planned 5,000 square meter facility, situated on the company's 2.89-acre industrial plot in Yerucham, is envisioned as "Israel’s national hub for innovation and manufacturing in the field of unmanned systems." It will house assembly lines, R&D laboratories, testing facilities, and advanced production systems dedicated to defense-grade UAV and drone solutions. Yerucham itself is a strategically designated national priority zone, offering extensive government-backed benefits, including capital investment grants, tax incentives, employment support, streamlined permitting, and access to government procurement channels. Its geographic advantages, such as low population density, open airspace, and proximity to military zones, make it ideal for real-time testing, production, and training.

SkyTech Orion is also pursuing a dual-national corporate structure, combining its U.S.-based parent entity with its Israeli subsidiaries. This framework is designed to bridge Israeli technological innovation with U.S.-based commercialization and compliance, creating a scalable and regulation-compliant structure for growth. The company is actively evaluating the establishment of a U.S.-based Operational Innovation and Manufacturing Center. This move aims to build domestic production capacity, enable direct sales to the U.S. Department of Defense (DoD), support distribution in the U.S. and allied markets, and ensure participation in "Made in USA" compliant defense procurement programs. This integrated approach positions SkyTech Orion as a trusted and scalable defense partner globally.

Financial Snapshot: Fueling the Transformation

SkyTech Orion's financial performance for the six months ended June 30, 2025, reflects its early-stage transition into the capital-intensive defense sector. The company reported no revenues from product sales for both the three and six months ended June 30, 2025, and 2024. Research and development expenses, however, saw a notable increase to $63,000 for the six months ended June 30, 2025, compared to $0 in the prior year period, indicating the initial investment in its new business operations.

The company's operating loss for the six months ended June 30, 2025, was $455,000, an improvement from $667,000 in the same period of 2024. Net loss for the six months ended June 30, 2025, stood at $942,000, down from $1.50 million in the prior year. This period also included an impairment loss of approximately $432,000 on its Nanomedic investment, a re-evaluation aligning with the company's new strategic focus.

From a liquidity perspective, SkyTech Orion reported a cash balance of $8,000 as of June 30, 2025, up from $1,000 at December 31, 2024.

The company's working capital deficiency increased to $3.88 million at June 30, 2025, from $3.46 million at December 31, 2024. Net cash used in operating activities for the six months ended June 30, 2025, was $116,000, while net cash provided by financing activities was $123,000.

This financing was bolstered by an increase in its short-term loan with S.R. Accord Ltd. to approximately $280,000 on March 31, 2025, and an extension of this credit facility until March 31, 2027. Management has stated confidence that, based on current cash balances and access to the credit facility, the company possesses "sufficient funds for its plans for the next twelve months." However, it also acknowledges that "it cannot determine with reasonable certainty when and if it will have sustainable profits," underscoring the long-term nature of this strategic investment.

Competitive Landscape: Carving a Niche in Defense

SkyTech Orion is entering a competitive, yet rapidly expanding, defense drone market. While precise, directly comparable market share figures for all niche competitors are not publicly detailed, the company's strategic positioning and technological advantages are designed to carve out a significant space. Its focus on a multi-domain modular system, capable of mass production using Western-approved components, directly addresses the urgent operational lessons from modern conflicts, where mass-produced tactical drones have demonstrated battlefield dominance. SkyTech's vision to produce "hundreds of thousands of FPV drones annually" directly responds to the global demand for scalable, defense-ready drone systems.

In contrast to broader defense contractors, SkyTech Orion's specialized focus on UMS and drones, coupled with its close collaboration with the Israeli defense system, provides a significant advantage. This relationship ensures product development aligns with real-world operational needs, accelerates time-to-field, and guarantees adherence to the highest military and regulatory standards. The dual-national structure, with a U.S. parent and Israeli subsidiaries, further enhances its competitive standing by providing direct access to U.S. and NATO-aligned defense markets, enabling local production, and ensuring compliance with critical defense procurement policies like "Made in USA." This integrated approach allows SkyTech Orion to differentiate itself by offering secure, compliant, and rapidly deployable solutions to allied forces worldwide.

Risks and Challenges

Investing in SkyTech Orion Global Corp. carries inherent risks, particularly given its early-stage pivot into a highly sensitive sector. The company's operations are deeply intertwined with Israel, making it susceptible to the ongoing geopolitical instability and its potential long-term consequences, including disruptions to supply chains, operational continuity, or access to resources.

Furthermore, the defense and aerospace sector operates under a distinct and stringent regulatory framework. SkyTech Orion must navigate complex compliance requirements from the Israeli Ministry of Defense (MOD), Directorate of Security for the Defense Establishment (MALMAB), and international export control regulations. While the company's strategy of using Western-approved components mitigates some risks, securing all necessary approvals and licenses for manufacturing and export, especially for dual-use technologies, remains a significant challenge. The company's current lack of revenue and reliance on external financing, despite management's confidence in short-term liquidity, means that achieving sustainable profitability is a long-term endeavor with no certain timeline.

Conclusion

SkyTech Orion Global Corp. stands at the precipice of a transformative journey, having decisively pivoted from its plant-based wellness origins to embrace the burgeoning defense-grade UMS and drone market. This strategic shift, born out of necessity and opportunity, is underpinned by a compelling technological differentiation in its modular, multi-domain systems and significantly bolstered by substantial government support in Israel. While current financials reflect the early investment phase, the company's vision for mass production and global expansion, particularly into the critical U.S. defense market, paints a picture of substantial long-term potential.

The core investment thesis hinges on SkyTech Orion's ability to execute its ambitious plan, leveraging its technological edge and strategic partnerships to capture market share in a sector vital to national security. Investors must weigh the significant growth opportunities against the inherent risks of geopolitical instability and stringent regulatory hurdles. Ultimately, SkyTech Orion is positioning itself not merely as a drone manufacturer, but as a key enabler of advanced defense capabilities, with its future success tied to its capacity to deliver on its promise of scalable, compliant, and operationally critical unmanned systems.