Company: BLUWU
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023451
Chunk: 20

Company: Blue Water Acquisition Corp. III
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 20
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, maintain and enforce
all contractual agreements to ensure costs are aligned with all agreements and budget. The CODM also reviews interest income on Trust
Account to forecast the amount of cash and marketable securities held in Trust Account.

Note
6 — Related Party Transactions

Founder
Shares

On
December 3, 2024, the Sponsor made capital contributions of $25,000, or approximately $0.004 per share, to cover certain of the Company’s
expenses, for which the Company issued 5,750,000 founder shares to the Sponsor. On June 9, 2025, the Company, through a share capitalization,
issued the Sponsor an additional 575,000 founder shares, resulting in the Sponsor holding 6,325,000 founder shares in the aggregate.

The
Company’s initial shareholders have agreed not to transfer, assign or sell any of their founder shares and any Class A ordinary
shares issued upon conversion thereof until the earlier to occur of (i) one year after the completion of the initial Business Combination
or (ii) the date on which the Company completes a liquidation, merger, share exchange or other similar transaction after the initial
Business Combination that results in all of the Company’s shareholders having the right to exchange their Class A ordinary shares
for cash, securities or other property. Any permitted transferees will be subject to the same restrictions and other agreements of the
Company’s initial shareholders with respect to any founder shares (the “Lock-up”). Notwithstanding the foregoing, if
(1) the closing price of the Class A ordinary shares equals or exceeds $12.00 per share (as adjusted for share subdivisions, share capitalizations,
reorganizations, recapitalizations and the like) for any 20 trading days within any 30-trading day period commencing at least 150 days
after the initial Business Combination or (2) if the Company consummates a transaction after the initial Business Combination which results
in the Company’s shareholders having the right to exchange their shares for cash, securities or other property, the founder shares
will be released from the Lock-up.

Promissory
Note — Related Party

The
Sponsor agreed to loan the Company an aggregate of up to $300,000 to be used for a portion of the expenses of the Initial Public Offering
(the “Promissory Note”). The Promissory Note was non-interest bearing, unsecured and due at the earlier of (i) November 20,
2025, (ii) the closing