CitroTech (CITR) Registration filing summary

Company overview and business model

• Operates as an environmentally sustainable flame retardant and suppression company targeting the residential and commercial construction markets in the U.S. and Canada.

• Acquired Mighty Fire Breaker, LLC's intellectual property, including 30 granted and 26 pending patents, and 21 trademarks.

• Main products include CitroTech fire retardants, used for wildfire defense and lumber treatment, made from food-grade, renewable ingredients.

• Products are distributed directly from a California facility and through regional retailers; customers include homeowners, developers, and fire departments.

• Holds unique certifications such as EPA Safer Choice and UL GreenGuard Gold, and is the only EPA-recognized fire retardant for environmental safety.

Financial performance and metrics

• As of September 30, 2024, reported $738,729 in revenue and a net loss of $5,082,352 for the nine months ended September 30, 2024.

• Revenue increased 186% year-over-year for the nine months ended September 30, 2024, but operating expenses remain high.

• Net loss for 2023 was $10,102,266 on $520,645 in revenue, reflecting significant stock-based compensation and professional fees.

• Working capital deficiency of $1,002,764 as of September 30, 2024; cash balance of $309,129.

• Auditor's report includes a going concern qualification due to recurring losses and dependence on related party funding.

Use of proceeds and capital allocation

• Net proceeds from the IPO will be allocated to general and administrative expenses, production and inventory, and marketing.

• If proceeds are insufficient, management will re-evaluate and adjust the budget to address contingencies.