Company: BACC
Filing Date: 2025-08-04
Form Type: 10-Q
Source: 0001185185-25-000892
Chunk: 81

Company: Blue Acquisition Corp/Cayman
Filing Date: 2025-08-04
Form: 10-Q
Item: Part I, Item 8
Chunk 81
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our initial Business Combination because we do not have sufficient funds available to us, we will be forced to liquidate the Trust Account.
In addition, following our initial Business Combination, if cash on hand is insufficient, we may need to obtain additional financing in
order to meet our obligations.

Off-Balance Sheet Arrangements

As of March 31, 2025, we did not have any off-balance
sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K.

Contractual Obligations

We do not have any long-term debt, capital lease
obligations, operating lease obligations or long-term liabilities as of March 31, 2025. Pursuant to the Underwriting Agreement, the underwriters
of our Initial Public Offering was entitled to a Deferred Fee of $0.35 per Public Unit, or $7,043,750 in the aggregate, payable to the
underwriters from the amounts held in the Trust Account solely in the event that we complete a Business Combination, subject to the terms
of the Underwriting Agreement.

Commencing on the effective date of the Initial
Public Offering, the Company entered into an agreement with the managing member of our Sponsor to pay an aggregate of $5,000 per month
for office space, utilities, and secretarial and administrative support, pursuant to the Administrative Services Agreement. These monthly
fees will cease upon the completion of the initial Business Combination or our liquidation.

The Sponsor has agreed to loan us an aggregate
of up to $300,000 to be used for a portion of the expenses of the Initial Public Offering pursuant to the IPO Promissory Note. The IPO
Promissory Note is non-interest bearing, unsecured and due at the earlier of December 31, 2025 or the closing of the Initial Public Offering.
The loan will be repaid out of the $747,500 of offering proceeds that has been allocated to the payment of offering expenses. As of March
31, 2025, we had borrowed $26,089 under the IPO Promissory Note as a result of payments made by the Sponsor on our behalf. We had borrowed
$193,236 through June 16, 2025, the consummation of the Initial Public Offering, and repaid $203,557 to the Sponsor to settle the balance
on June 16, 2025. The overpayment of $10,321 was recorded as a related party receivable.

Commitments
and Cont