Company: MYI
Filing Date: 2025-07-15
Form Type: 425
Source: 0001193125-25-159406
Chunk: 7

Company: BLACKROCK MUNIYIELD QUALITY FUND III, INC.
Filing Date: 2025-07-15
Form: 425
Chunk 7
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 consequences, including potential state, local 
 and foreign tax consequences. (See Section 14, “Certain U.S. Federal Income Tax Consequences.”)                                                                                                                                    |

Is there any reason Shares tendered by me for purchase would not be accepted?

| • |     | In addition to those circumstances described under “Certain Conditions of the Offer” in which the Fund                                                                                                                                                    
 is not required to purchase tendered Shares, the Fund has reserved the right to reject any and all tendered Shares determined by the Fund not to have been tendered in the appropriate form. For example, tenders will be rejected if the tender does not 
 include the original signature(s) or the original of any required signature guarantee(s). Moreover, as further described herein, if more than the Offer Amount is tendered and not withdrawn, any purchases will be made on a pro rata basis.             |

What should I do if I decide not to tender my Shares for purchase?

| • |     | Nothing. There are no actions that you need to take if you determine not to participate in the Offer. |

If I decide not to tender, how will the Offer affect my Shares?

| • |     | If you do not tender your Shares (or if you own Shares following completion of the Offer), you will be subject to                                                                                                                                        
 any increased risks associated with the reduction in the Fund’s total assets due to the payment for the tendered Shares. These risks may include greater volatility due to a decreased asset base and proportionately higher expenses, as well as        
 the possibility of receiving additional taxable capital gains on the distributions of the sale of portfolio securities to pay for tendered shares. The reduced assets of the Fund as a result of the Offer may result in less investment flexibility for 
 the Fund, depending on the number of Shares purchased, could limit the Fund’s ability to use leverage and may have an adverse effect on the Fund’s investment performance. The Fund currently utilizes financial leverage for investment                 
 purposes through the issuance of Variable Rate Muni Term Preferred Shares and through the use of tender option bond trusts (“TOB Trusts”). In an effort to maintain the Fund’s current leverage ratio and asset coverage, the Fund may                   
 need to de-lever. This de-levering may result in decreased returns to the Fund and increased expenses for remaining stockholders. The purchase of Shares in the Offer may                                                                                
 reduce the number of stockholders in the Fund and will reduce the number of Shares that might otherwise trade publicly. This could adversely affect the liquidity and market value of the