Company: BACC
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001185185-25-001689
Chunk: 79

Company: Blue Acquisition Corp/Cayman
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 8
Chunk 79
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 maintenance of certain financial ratios or reserves without a waiver or renegotiation of that covenant;

●our
immediate payment of all principal and accrued interest, if any, if the debt security is payable on demand;

●our
inability to obtain necessary additional financing if the debt security contains covenants restricting our ability to obtain such financing
while the debt security is outstanding;

●using
a substantial portion of our cash flow to pay principal and interest on our debt, which will reduce the funds available for expenses,
capital expenditures, acquisitions and other general corporate purposes;

●limitations
on our flexibility in planning for and reacting to changes in our business and in the industry in which we operate;

●increased
vulnerability to adverse changes in general economic, industry and competitive conditions and adverse changes in government regulation;
and

●limitations
on our ability to borrow additional amounts for expenses, capital expenditures, acquisitions, debt service requirements, execution of
our strategy and other purposes and other disadvantages compared to our competitors who have less debt.

As
indicated in the unaudited condensed financial statements and the notes thereto included in this Report under “Item 1. Financial
Statements”, at September 30, 2025, we had $1,045,403 of cash and working capital of $1,061,429. Further, we expect to incur significant
costs in the pursuit of our initial Business Combination. We cannot assure you that our plans to raise capital or to complete our initial
Business Combination will be successful.

We
may seek to extend the Combination Period consistent with applicable laws, regulations and stock exchange rules by amending our Amended
and Restated Articles. Any such amendment would require the approval of our Public Shareholders, who will be provided the opportunity
to redeem all or a portion of their Public Shares in connection with the vote on such approval. Such redemptions will decrease the amount
held in our Trust Account and our capitalization, and may affect our ability to maintain our listing on Nasdaq. In addition, the Nasdaq
Rules currently require SPACs (such as us) to complete their initial Business Combination in accordance with the Nasdaq 36-Month Requirement.
If we do not meet the Nasdaq 36-Month Requirement, our securities will likely be subject to a suspension of trading and delisting from
Nasdaq.

Recent
Developments

The Sponsor deposited an aggregate of $249,950 into
our bank account, depositing $50,000 in April 202