Company: BAYAU
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001641172-25-002125
Chunk: 255

Company: Bayview Acquisition Corp
Filing Date: 2025-04-01
Form: 10-K
Item: Item 1A
Chunk 255
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various restricted categories of assets and industries may nonetheless sometimes be consummated using contractual arrangements with permitted
local parties. To the extent that such agreements are employed, they may be for control of specific assets such as intellectual property
or control of blocks of the equity ownership interests of a company which may provide exceptions to the merger and acquisition regulations
mentioned above since these types of arrangements typically do not involve a change of equity ownership in the operating company. The
agreements would be designed to provide our company with the economic benefits of, and control over, the subject assets or equity interests
similar to the rights of full ownership, while leaving the technical ownership in the hands of local parties who would be our nominees
and, therefore, may exempt the transaction from certain regulations, including the application process required thereunder.

However,
since there has been limited implementation guidance provided with respect to such regulations, the relevant government agency might
apply them to a business combination effected through contractual arrangements. If such an agency determines or interprets that such
an application should have been made or that our potential future target businesses are otherwise in violation of local laws or regulations,
consequences may include confiscating relevant income and levying fines and other penalties, revoking business and other licenses, requiring
restructure of ownership or operations, requiring discontinuation or restriction of the operations of any portion or all of the acquired
business, restricting or prohibiting our use of the proceeds of the IPO to finance our businesses and operations and imposing conditions
or requirements with which we or potential future target businesses may not be able to comply, and we could be unable to assert our contractual
control rights over the assets of the post-combination target company, which could cause the value of our Ordinary Shares may depreciate
significantly or become worthless. These agreements likely also would provide for increased ownership or full ownership and control by
us when and if permitted under local laws and regulations. If we choose to effect a business combination that employs the use of these
types of control arrangements, we may have difficulty in enforcing our rights. Therefore, these contractual arrangements may not be as
effective in providing us with the same economic benefits, accounting consolidation or control over a target business as would direct
ownership. For example, if the target business or any other entity fails to perform its obligations under these contractual arrangements,
we may have to incur substantial costs and expend substantial resources to enforce such arrangements, and rely on legal remedies under
local law, including seeking specific performance or injunctive relief, and claiming