Company: BAYAU
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001641172-25-002125
Chunk: 260

Company: Bayview Acquisition Corp
Filing Date: 2025-04-01
Form: 10-K
Item: Item 1A
Chunk 260
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16 could result in administrative penalties.

As
such, Circular 19 and Circular 16 may significantly limit our ability to transfer the proceeds of the IPO to a PRC target company and
the use of such proceeds by the PRC target company. In addition, following our initial business combination with a PRC target company,
we will be subject to the PRC’s rules and regulations on currency conversion. In the PRC, the SAFE regulates the conversion of
the Renminbi into foreign currencies. Currently, FIEs are required to apply to the SAFE for “Foreign Exchange Registration Certificates
for FIEs.” Following our initial business combination, we will likely be an FIE as a result of our ownership structure. With such
registration certificates, which need to be renewed annually, FIEs are allowed to open foreign currency accounts including a “basic
account” and “capital account.” Currency conversion within the scope of the “basic account,” such as remittance
of foreign currencies for payment of dividends, can be effected without requiring the approval of the SAFE. However, conversion of currency
in the “capital account,” including capital items such as direct investment, loans and securities, still require approval
of the SAFE.

We
cannot assure you the PRC regulatory authorities will not impose further restrictions on the convertibility of the Renminbi. Any future
restrictions on currency exchanges may limit our ability to use the proceeds of the IPO in an initial business combination with a PRC
target company and the use our cash flow for the distribution of dividends to our shareholders or to fund operations we may have outside
of the PRC.

Our
initial business combination may be subject to national security review by the PRC government, and we may have to spend additional resources
and incur additional time delays to complete any such business combination or be prevented from pursuing certain investment opportunities.

On
February 3, 2011, the PRC government issued a Notice Concerning the Establishment of Security Review Procedure on Mergers and Acquisitions
of Domestic Enterprises by Foreign Investors, or Security Review Regulations, which became effective on March 5, 2011. The Security Review
Regulations cover acquisitions by foreign investors of a broad range of PRC enterprises if such acquisitions could result in de facto
control by foreign investors and the enterprises are relating to military, national defense, important agriculture products, important
energy and natural resources, important infrastructures, important transportation services, key technologies and important equipment
manufacturing. The scope of the