Company: BAYAU
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001641172-25-002125
Chunk: 273

Company: Bayview Acquisition Corp
Filing Date: 2025-04-01
Form: 10-K
Item: Item 1A
Chunk 273
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 Should we
choose to acquire a company in China, exchange controls that exist in the PRC may restrict or prevent us from using the proceeds of the
IPO to acquire a target company in PRC and limit our ability to utilize our cash flow effectively following our initial business combination.
If we were to acquire a PRC company, the PRC regulation on loans to, and direct investment in, our PRC subsidiary by offshore holding
companies and governmental control in currency conversion may restrict our ability to make loans to or capital contributions to our PRC
subsidiary, which could materially and adversely affect our liquidity and our ability to fund and expand our business.

  55 

These
restrictions will restrict our ability to distribute earnings from our businesses, including subsidiaries, to the parent company and
U.S. investors. In addition, fluctuations in exchange rates could result in foreign currency exchange losses to us and may reduce the
value of, and amount in U.S. Dollar of dividends payable on, our shares in foreign currency terms.

As
of the date of the Form 10-K, we have not pursued an initial business combination and there have not been any capital contribution or
shareholder loans by us to any PRC entities, we do not yet have any subsidiaries, and (except as described in the Registration Statement),
we have not received, declared or made any dividends or distributions.

The
following illustrative table shows the post-business combination funds flow of the Company to the extent that the Company will acquire
a company based in the PRC through direct equity investment. We will not consummate our initial business combination with an entity or
business with China operations consolidated through a VIE structure.

Note:

    (1)
    We
    may transfer funds to the target (PRC-based operations company) through an increase in the registered capital of or a shareholder
    loan to the target (PRC-based operations company). The target (PRC-based operations company) may in turn make distributions or pay
    dividends to us.

The
PRC governmental authorities may take the view now or in the future that an approval from them is required for an overseas offering by
a company affiliated with Chinese businesses or persons or a business combination with a target business based in and primarily operating
in China.

The
M&A Rules include, among other things, provisions that purport to require that an offshore special purpose vehicle formed for the
purpose of an overseas listing of securities in a PRC company obtain the approval of the CSRC