Company: BACC
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001185185-25-000948
Chunk: 90

Company: Blue Acquisition Corp/Cayman
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 8
Chunk 90
---
 agreed to loan us an aggregate
of up to $300,000 to be used for a portion of the expenses of the Initial Public Offering pursuant to the IPO Promissory Note. The IPO
Promissory Note is non-interest bearing, unsecured and due at the earlier of December 31, 2025 or the closing of the Initial Public Offering.
The loan will be repaid out of the $747,500 of offering proceeds that has been allocated to the payment of offering expenses. We had borrowed
$193,236 through June 16, 2025, the consummation of the Initial Public Offering, and repaid $203,557 to the Sponsor to settle the balance
on June 16, 2025. The overpayment of $10,321 was recorded as a related party receivable as of June 30, 2025.

Commitments
and Contingencies

The holders of (i) Founder Shares, (ii) Private
Placement Units (and their underlying securities) and units that may be issued upon conversion of Working Capital Loans (and their underlying
securities), if any, (iii) the Representative Shares, (iv) any Class A Ordinary Shares issuable upon conversion of the Founder Shares
and (v) any Class A Ordinary Shares held by the Initial Shareholders at the completion of the Initial Public Offering or acquired prior
to or in connection with the initial Business Combination, will be entitled to registration rights pursuant to the Registration Rights
Agreement. These holders will be entitled to make up to three demands and have piggyback registration rights. The Company will bear the
expenses incurred in connection with the filing of any such registration statements.

21

Critical
Accounting Estimates

The preparation of financial statements and related
disclosures in conformity with GAAP requires Management to make estimates and assumptions that affect the reported amounts of assets and
liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and income and expenses during the
periods reported. Actual results could materially differ from those estimates. We have not identified any critical accounting estimates
as of June 30, 2025.

Recent
Accounting Pronouncements

In November 2023, the FASB issued ASU 2023-07.
The amendments in ASU 2023-07 require disclosures, on an annual and interim basis, of significant segment expenses that are regularly
provided to the CODM, as well as the aggregate amount of other segment items included in the