Company: BLUWU
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024010
Chunk: 2

Company: Blue Water Acquisition Corp. III
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 2
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 a change of control of us by diluting the share ownership or voting rights of a person
    seeking to obtain control of us; and

    ●
    may
    adversely affect prevailing market prices for our Class A ordinary shares and/or warrants.

17 

Similarly,
if we issue debt securities or otherwise incur significant debt to bank or other lenders or the owners of a target, it could result in:

    ●
    default
    and foreclosure on our assets if our operating revenues after an initial business combination are insufficient to repay our debt
    obligations;

    ●
    acceleration
    of our obligations to repay the indebtedness even if we make all principal and interest payments when due if we breach certain covenants
    that require the 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.

Results
of Operations and Known Trends or Future Events

We
have neither engaged in any operations nor generated any revenues to date. Our only activities from November 1, 2025 (inception) through
June 30, 2025 relates to organizational activities, our initial public offering, and, subsequent to the initial public offering, our pursuit of an initial business
combination. We will not generate any operating revenues until after completion of our initial business combination. We will generate
non-operating income in the form of interest income on cash and cash equivalents after the initial public offering. There has been no significant change
in our financial or