Company: BAYAU
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001641172-25-002125
Chunk: 102

Company: Bayview Acquisition Corp
Filing Date: 2025-04-01
Form: 10-K
Item: Item 1
Chunk 102
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 determined in accordance with Chinese accounting standards
and regulations. In addition, our PRC subsidiary will be required to set aside at least 10% (up to an aggregate amount equal to half
of its registered capital) of its accumulated profits each year. See “—If we successfully consummate a business combination
with a target business with primary operations in the PRC, we will be subject to restrictions on dividend payments following consummation
of our initial business combination.”

In
addition, we may be subject to restrictions on currency exchange as the PRC government may limit or eliminate our ability to utilize
cash generated in Renminbi, or RMB to fund our business activities outside of the PRC or pay dividends in foreign currencies to our shareholders,
including holders of our securities, and may limit our ability to obtain foreign currency through debt or equity financing. 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