ZenaTech Completes 20th Acquisition in Year One of Drone as a Service, Strengthening California Wildfire Management and Public Works Opportunities

Rhea-AI Summary

ZenaTech (Nasdaq: ZENA) completed its 20th acquisition, buying L.D. King, Inc., a Los Angeles–area civil engineering and land surveying firm, expanding its Drone as a Service (DaaS) footprint in wildfire‑sensitive Southern California.

Since January 2025 the company built a US and global network with thousands of commercial and government client relationships and says its DaaS roll‑up targets legacy service firms for drone modernization. Management cited a 36% annual global drone market growth projection and a $355 billion market by 2032.

Positive

• 20 acquisitions completed in DaaS during first year
• Acquired L.D. King to strengthen Southern California wildfire and public works footprint
• Established US and global network with thousands of clients
• Positioned to grow margins by integrating AI-autonomous drone capabilities

Negative

• None.

Key Figures

Total acquisitions 20 acquisitions First year of Drone as a Service expansion strategy

Drone services CAGR 36% annually Global drone services market growth per Pragma Market Research

Market size forecast $355 billion Expected global drone services market size by 2032

Client relationships Thousands Existing commercial and government relationships in US and global network

L.D. King founding 1965 L.D. King operating history in Southern California

DaaS acquisitions year-end 20 acquisitions Drone as a Service platform footprint including latest L.D. King deal

Market Reality Check

$3.94 Last Close

Volume Volume 661,249 vs 20-day average 1,024,517 ahead of the acquisition update. low

Technical Shares at $3.35, trading below the 200-day MA of $3.97 despite continued DaaS expansion news.

Peers on Argus

Peers show mixed moves: AISP at -4.06%, HPAI at +2.10%, BKKT at +6.10%, while REKR and SANG were flat, suggesting the ZENA news is more stock-specific than sector-driven.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Jan 06	Defense positioning	Positive	-0.3%	NDAA-compliant drone positioning after FCC notice and U.S. trials.
Dec 30	DaaS acquisitions	Positive	+8.3%	Three DaaS deals expanding footprint in U.S. and Canada.
Dec 23	Solar-market deal	Positive	+4.8%	Acquisition expanding DaaS into solar infrastructure customers.
Dec 18	AI R&D center	Positive	+15.4%	Announcement of Baton Rouge AI center for defense and quantum work.
Dec 16	Defense engagement	Positive	+4.5%	Expanded defense demos, new facilities, and drone testing updates.

Pattern Detected

Recent growth and defense/DaaS expansion headlines have usually been followed by positive price reactions, with occasional small divergences.

Recent Company History

Over recent months, ZenaTech issued multiple updates on DaaS acquisitions and U.S. defense positioning. News on Dec 2–23, 2025 detailed expanding survey and infrastructure coverage, while a Q1 2026 AI R&D center and defense pilots highlighted technology ambitions. Most of these items, including the Vara 3D deal and AI Baton Rouge center, saw positive one-day moves, framing today’s 20th-acquisition milestone as part of an ongoing roll-up and defense-focused growth strategy.

Market Pulse Summary

The stock surged +23.6% in the session following this news. A strong positive reaction aligns with prior acquisition and expansion news that often coincided with gains after DaaS milestones. Investors previously reacted favorably to deals that added new geographies or verticals, as seen around late 2025. However, with shares already trading below the 200-day MA, future performance could depend on integrating these 20 acquisitions and sustaining reported growth rates.

Key Terms

drone as a service technical

"completes 20th acquisition in Year One of Drone as a Service"

Drone as a service (DaaS) is a business model where companies provide drone flights, sensors, data collection and analysis on a subscription or contract basis instead of selling the aircraft outright. For investors it matters because DaaS can create recurring revenue and scalable service margins like a rented contractor or utility, while concentrating risks around regulation, data security and operational reliability that can affect future cash flow and growth.

enterprise saas technical

"Drone as a Service (DaaS), enterprise SaaS, and Quantum Computing solutions"

Cloud-based software sold to large organizations on a subscription basis, usually with tools for things like finance, HR, sales, or operations. Investors care because this model often produces steady, predictable recurring revenue, larger customer contracts, and the potential for high profit margins as the business scales — similar to a utility bill for a company rather than a one-time purchase — making growth and customer retention key value drivers.

quantum computing technical

"enterprise SaaS, and Quantum Computing solutions, today announces it has completed"

Quantum computing is a type of advanced technology that uses the principles of quantum physics to perform calculations much faster than traditional computers. It can process vast amounts of information simultaneously, potentially solving complex problems that are currently impossible or take too long with regular computers. For investors, this technology could lead to breakthroughs in areas like cryptography, data analysis, and optimization, impacting financial markets and security systems.

ai-autonomous drone technical

"grow margins by integrating embedding AI-autonomous drone capabilities and certifying"

An AI-autonomous drone is an unmanned aircraft that uses onboard artificial intelligence to sense its environment, plan routes and carry out tasks without continuous human control — like a self-driving car that flies. Investors care because this autonomy can lower operating costs, enable new services at scale, and change regulatory and safety risk profiles; those factors drive revenue potential, capital needs and legal exposure for companies deploying the technology.

subscription-based financial

"clients with on-demand or subscription-based access to faster and superior drone-based"

A subscription-based business model charges customers a recurring fee—often monthly or yearly—for ongoing access to a product or service, like a magazine subscription or gym membership rather than a one-time purchase. For investors this matters because it tends to create predictable, steady revenue and lets analysts judge growth by how many customers stay, join, or leave over time, which affects company value and future earnings visibility.

AI-generated analysis. Not financial advice.

VANCOUVER, British Columbia, Jan. 08, 2026 (GLOBE NEWSWIRE) -- ZenaTech, Inc. (Nasdaq: ZENA) (FSE: 49Q) (BMV: ZENA) ("ZenaTech"), a technology solution provider specializing in AI (Artificial Intelligence) drone, Drone as a Service (DaaS), enterprise SaaS, and Quantum Computing solutions, today announces it has completed its 20th acquisition. The most recent acquisition is L.D. King, Inc., a well-established civil engineering and land surveying firm based in the Los Angeles area, further strengthening its footprint for drone solutions in one of the most wildfire-sensitive and natural disaster-prone regions in the US. This acquisition caps a successful first year executing its Drone as a Service expansion strategy to enable drone accessibility at scale for the innovation of legacy, low tech or manual work. Since January 2025, the company has built a US and global business network which includes thousands of existing commercial and government client relationships.

“We have exceeded our first-year objectives for Drone as a Service, underscoring both the pace and discipline with which we are scale our roll up strategy of multiple industries ripe for drone modernizing, representing significant untapped opportunities for Drone as a Service applications. The global drone services market is growing at over 36 % annually and expected to reach $355 billion by 2032 according to Pragma Market Research, creating a substantial long-term opportunity for scalable, recurring revenue,” said Shaun Passley, Ph.D., ZenaTech CEO. “Our 20^th acquisition, L.D. King’s deep relationships and decades-long operating history provide an ideal platform to deploy our drone-enabled services at scale for existing government and building developer clients. We continue to expand into natural resources management expanded capabilities for future wildfire management, post-disaster assessments, and regional planning activities.”

Founded in 1965, L.D. King, Inc. has served Southern California for more than six decades, with a reputation for quality and long-term client relationships across public works, commercial, and residential projects. The firm’s multidisciplinary team of licensed professionals delivers comprehensive services ranging from land surveying and engineering to planning and construction management, addressing the diverse needs of municipal government agencies and private developers.

Building the Foundation for Drone as a Service Growth

• Established ZenaTech as a first-to-market leader pioneering a multi-service, globally scalable Drone as a Service network for government and commercial clients with 20 US and global acquisitions combined with two corporate stores
• Since its inception, Drone as a Service has focused on acquiring established, profitable businesses operating with legacy processes and modernizing them for growth through drone innovation, automation, and data-driven workflows
• Drone as a Service is now positioned to grow margins by integrating embedding AI-autonomous drone capabilities and certifying field technicians as licensed drone pilots, ZenaTech reduces labor intensity and streamlines operation costs
• Over the course of 2025, the company has been acquiring profitable businesses with an immediate revenue base, while expanding services and cross selling opportunities such as data analysis, automating maintenance, and new services like wildfire management, environmental monitoring, power washing, among others. Drone as a Service has now reached 20 acquisitions, ahead of its expected timeline

ZenaTech’s Drone as a Service business platform provides business and government clients with on-demand or subscription-based access to faster and superior drone-based services for a host of surveying, inspection, maintenance, power washing, inventory management, and precision agriculture services, without the capital costs or operational burdens of ownership. By acquiring established, profitable service companies currently using low-tech processes and ripe for drone innovation, ZenaTech is building a global, multi-service DaaS network of locations in communities anchored by existing customers and revenue, for next-gen drone integration designed for speed, precision, data, and safety benefits. The company is continuing to build its global business and network of locations as well as its integration of drones and new services.

About ZenaTech

ZenaTech (Nasdaq: ZENA) (FSE: 49Q) (BMV: ZENA) is a technology company specializing in AI drone, Drone as a Service (DaaS), enterprise SaaS and Quantum Computing solutions for mission-critical business applications. Since 2017, the Company has leveraged its software development expertise and grown its drone design and manufacturing capabilities through ZenaDrone, to innovate and improve customer inspection, monitoring, safety, security, compliance, and surveying processes. With enterprise software customers using branded solutions in law enforcement, government, and industrial sectors, and drones being implemented in these plus agriculture, defense, and logistics sectors, ZenaTech’s portfolio of solutions helps drive exceptional operational efficiencies, accuracy, and cost savings. The Company operates through global offices in North America, Europe, Taiwan, and UAE, and is growing its US DaaS business and network of locations through acquisitions.

About ZenaDrone

ZenaDrone, a wholly owned subsidiary of ZenaTech, develops and manufactures autonomous business drone solutions that can incorporate machine learning software, AI, predictive modeling, Quantum Computing, and other software and hardware innovations. Created to revolutionize the hemp farming sector, its specialization has grown to multifunctional drone solutions for industrial surveillance, monitoring, inspection, tracking, process automation, and defense applications. Currently, the ZenaDrone 1000 drone is used for crop management applications in agriculture and critical field cargo applications in the defense sector, the IQ Nano indoor drone is used for inventory management and security in the warehouse and logistics sectors, and the IQ Square is an outdoor drone designed for land surveys and inspections use in commercial and defense sectors.

Contacts for more information:

Company, Investors, and Media:

Linda Montgomery

ZenaTech

312-241-1415

investors@zenatech.com

Investors:

Michael Mason

CORE IR

investors@zenatech.com

Safe Harbor

This press release and related comments by management of ZenaTech, Inc. include “forward-looking statements” within the meaning of U.S. federal securities laws and applicable Canadian securities laws. These forward-looking statements are subject to the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. This forward-looking information relates to future events or future performance of ZenaTech and reflects management’s expectations and projections regarding ZenaTech’s growth, results of operations, performance, and business prospects and opportunities. Such forward-looking statements reflect management’s current beliefs and are based on information currently available to management. In some cases, forward-looking information can be identified by terminology such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “aim”, “seek”, “is/are likely to”, “believe”, “estimate”, “predict”, “potential”, “continue” or the negative of these terms or other comparable terminology intended to identify forward-looking statements. Forward-looking information in this document includes, but is not limited to ZenaTech’s expectations regarding its revenue, expenses, production, operations, costs, cash flows, and future growth; expectations with respect to future production costs and capacity; ZenaTech's ability to deliver products to the market as currently contemplated, including its drone products including ZenaDrone 1000, IQ Square and IQ Nano; ZenaTech's ability to develop products for markets as currently contemplated; ZenaTech’s anticipated cash needs and it’s needs for additional financing; ZenaTech’s intention to grow the business and its operations and execution risk; expectations with respect to future operations and costs; the volatility of stock prices and market conditions in the industries in which ZenaTech operates; political, economic, environmental, tax, security, and other risks associated with operating in emerging markets; regulatory risks; unfavorable publicity or consumer perception; difficulty in forecasting industry trends; the ability to hire key personnel; the competitive conditions of the industry and the competitive and business strategies of ZenaTech; ZenaTech’s expected business objectives for the next twelve months; ZenaTech’s ability to obtain additional funds through the sale of equity or debt commitments; investment capital and market share; the ability to complete any contemplated acquisitions; changes in the target markets; market uncertainty; ability to access additional capital, including through the listing of its securities in various jurisdictions; management of growth (plans and timing for expansion); patent infringement; litigation; applicable laws, regulations, and any amendments affecting the business of ZenaTech and other related risks ‎‎‎and uncertainties disclosed under the ‎heading “Risk Factors“ ‎‎‎‎in the Company’s Form F-1, Form 20-F and other filings filed ‎‎‎with the United States Securities and Exchange Commission (the “SEC”) on EDGAR through the SEC’s website at www.sec.gov. The Company undertakes ‎‎‎no obligation to update forward-‎looking ‎‎‎‎information except as required by applicable law. Such forward-‎‎‎looking information represents ‎‎‎‎‎managements’ best judgment based on information currently available. ‎‎‎No forward-looking ‎‎‎‎statement ‎can be guaranteed and actual future results may vary materially. ‎‎‎Accordingly, readers ‎‎‎‎are advised not to ‎place undue reliance on forward-looking statements or ‎‎‎information.‎

FAQ

What did ZenaTech (ZENA) announce on January 8, 2026 about acquisitions?

ZenaTech announced completion of its 20th acquisition, acquiring L.D. King, Inc. to expand DaaS operations in Southern California.

How does the L.D. King acquisition affect ZenaTech's wildfire management capabilities?

The acquisition expands ZenaTech's footprint in a wildfire‑sensitive region and adds local engineering and surveying expertise for wildfire management and post‑disaster assessments.

What is ZenaTech's Drone as a Service growth strategy for 2025–2026?

The strategy is a roll‑up of established, profitable service firms using drones, AI automation, and certified pilots to scale recurring DaaS subscriptions and cross‑sell data services.

How large is the market opportunity ZenaTech cites for drone services?

ZenaTech cited a projected global drone services market growing over 36% annually and reaching $355 billion by 2032 (Pragma Market Research).

Will the L.D. King acquisition immediately add revenue to ZenaTech (ZENA)?

Yes; the company states it acquires established, profitable businesses with an immediate revenue base to support cross‑selling and service expansion.

How does ZenaTech deliver Drone as a Service to government and commercial clients?

ZenaTech offers on‑demand or subscription DaaS for surveying, inspection, maintenance, inventory and precision agriculture without clients bearing drone ownership costs.