OP,
You do not want drywall if your lanai is not completely enclosed, you will want something called yellow board which is meant for outdoor installation. I would use this in any case. Also, you will need to be very careful about any use of wood. I had the 12 foot center slider panels enclosed so they were real pocket doors. We used aluminum for the supports and yellow board covering, then stucco to match the existing walls, and then paint to match.
You need yo may sure what ever you discuss with you contractor it is weather proof and termite proof.
Hope this helps.
PS the above work was part of a much larger birdcage project, and I did not get the name of the subcontractor that did the actual work.
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Pennsylvania, for 60+ years, most recently, Allentown, now TV. 
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