Company: BLUWU
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024010
Chunk: 133

Company: Blue Water Acquisition Corp. III
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 133
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 by operating activities was $87,484. Net income of $368,570 was increased by $101,708
of formation, general and administrative costs paid by the Sponsor under the promissory note, and decreased by $556,881 of interest income
on the trust account and an $881 decrease in operating assets and liabilities.

Our
liquidity needs have been satisfied to date through the purchase of founder shares from our Sponsor for $25,000, $300,000 in loans from
our Sponsor, and proceeds generated from our initial public offering and simultaneous private placement that generated gross proceeds
of $259,830,000.

18 

Following the closing of the initial public offering,
on June 11, 2025, an amount of $253,000,000 ($10.00 per unit) from the net proceeds of the sale of the Units and the Private Placement
Units, was placed in the trust account, with Continental Stock Transfer & Trust Company acting as trustee. The funds are initially
to be held in cash, including demand deposit accounts at a bank, or invested only in U.S. government treasury obligations with a maturity
of 185 days or less or in money market funds meeting certain conditions under Rule 2a-7 under the Investment Company Act, which invest
only in direct U.S. government treasury obligations; the holding of these assets in this form is intended to be temporary and for the
sole purpose of facilitating the intended business combination. To mitigate the risk that we might be deemed to be an investment company
for purposes of the Investment Company Act, which risk increases the longer that we hold investments in the trust account, we may, at
any time (based on management team’s ongoing assessment of all factors related to the potential status under the Investment Company
Act), instruct the trustee to liquidate the investments held in the trust account and instead to hold the funds in the trust account in
cash or in an interest bearing demand deposit account at a bank. Except with respect to interest earned on the funds held in the trust
account that may be released to us to pay our taxes, if any, the proceeds from the initial public offering and the sale of the private
placement units will not be released from the trust account until the earliest of (i) the completion of our initial business combination,
(ii) the redemption of our public shares if we are unable to complete the initial business combination within 24 months from the closing
of the initial public offering or by such earlier liquidation date as