Company: BAYAU
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001641172-25-002125
Chunk: 117

Company: Bayview Acquisition Corp
Filing Date: 2025-04-01
Form: 10-K
Item: Item 1
Chunk 117
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, direct or indirect investments
in offshore special purpose vehicles, or SPVs, must register such investments with SAFE or its local branches. In addition, any PRC resident
who is a direct or indirect shareholder of an SPV must update its filed registration with the local branch of SAFE with respect to that
SPV, to reflect any material change.

If
our shareholders who are PRC residents or entities fail to make the required registration or to update the previously filed registration,
any PRC subsidiaries may be prohibited from distributing their profits and any proceeds from any reduction in capital, share transfer
or liquidation to us, and we may be restricted in our ability to contribute additional capital to any PRC subsidiaries. On February 13,
2015, SAFE promulgated a Notice on Further Simplifying and Improving Foreign Exchange Administration Policy on Direct Investment, or
SAFE Notice 13, which became effective on June 1, 2015.

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Under
SAFE Notice 13, applications for foreign exchange registration of inbound foreign direct investments and outbound overseas direct investments,
including those required under SAFE Circular 37, will be filed with qualified banks instead of SAFE. The qualified banks will directly
examine the applications and accept registrations under the supervision of SAFE.

We
have requested PRC residents who we know hold direct or indirect interests in us to make the necessary applications, filings and registrations
as required under SAFE Circular 37. We believe that most of these shareholders have completed the initial foreign exchange registrations
with relevant banks. However, these individuals may not continue to make required filings or updates in a timely manner, or at all.

We
may not know the identities of all PRC residents holding direct or indirect interest in our company. Any failure or inability by such
individuals to comply with SAFE regulations may subject us to fines or legal sanctions, restrict our cross-border investment activities,
and limit any PRC subsidiary’s ability to distribute dividends to us. As a result, our business and our ability to make distributions
to you could be materially adversely affected.

Furthermore,
as these foreign exchange regulations are still relatively new and their interpretation and implementation have been evolving, it is
unclear how these regulations, and any future regulation concerning offshore or cross-border transactions, will be interpreted, amended
and implemented by the relevant government authorities. For example, we may be subject to a more stringent review and approval process
with respect to our foreign exchange activities, such as remittance of dividends and foreign-currency-denominated borrowings,