Company: BACC
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001185185-25-000948
Chunk: 29

Company: Blue Acquisition Corp/Cayman
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 1
Chunk 29
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of the Business Combination. The Company will not issue fractional shares in connection with an exchange of Share Rights. Fractional
shares will either be rounded down to the nearest whole share or otherwise addressed in accordance with the applicable provisions of
Cayman Islands law. As a result, you must hold Share Rights in multiples of 10 in order to receive shares for all of your Share Rights
upon closing of a Business Combination. If the Company is unable to complete an initial Business Combination within the required time
period and the Company redeems the public shares for the funds held in the Trust Account, holders of Share Rights will not receive any
of such funds for their Share Rights and the Share Rights will expire worthless. 

15

Note 9 — Fair Value Measurements

At June 30, 2025, the Company’s marketable
securities held in the Trust Account were valued at $201,571,137. The marketable securities held in the Trust Account must be recorded
on the balance sheet at fair value and are subject to remeasurement at each balance sheet date. With each remeasurement, the valuations
will be adjusted to fair value, with the change in fair value recognized in the Company’s statement of operations. 

The following table presents the fair value information,
as of June 30, 2025, of the Company’s financial assets that were accounted for at fair value on a recurring basis and indicates
the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. The Company’s marketable
securities held in the Trust Account are based on dividend and interest income and market fluctuations in the value of invested marketable
securities, which are considered observable. The fair value of the marketable securities held in trust is classified within Level 1 of
the fair value hierarchy.

The following table sets forth by level within the fair value hierarchy
the Company’s assets and liabilities that were accounted for at fair value on a recurring basis:

    (Level 1)  
    (Level 2)  
    (Level 3) 
  
    As of June 30, 2025 

    Assets: 

    Treasury Trust Funds held in Trust Account 
    $201,571,137  
    $—  
    $— 

Note 10 — Subsequent Events 

The Company evaluated subsequent events and transactions
that occurred after June 30, 2025, the balance sheet date, through the