Financial Performance - For the three months ended June 30, 2025, the company reported a net income of $444,392, driven by $556,881 in interest income from the trust account, offset by various expenses totaling $112,489[101]. - For the six months ended June 30, 2025, the company achieved a net income of $368,570, with total interest income of $556,881 and total expenses of $182,279[102]. - The company incurred net cash used in operating activities of $87,484 for the six months ended June 30, 2025, with net income adjusted for various expenses and interest income[104]. Cash and Working Capital - As of June 30, 2025, the company had cash of $1,039,666 and a working capital deficit of $1,053,059, compared to a cash balance of $0 and a working capital deficit of $48,541 as of December 31, 2024[103]. Initial Public Offering - The company generated gross proceeds of $259,830,000 from its initial public offering and private placement, with $253,000,000 placed in a trust account for future business combinations[107]. - The underwriters of the initial public offering are entitled to a deferred underwriting discount of 3.50% of the gross proceeds, amounting to $8,855,000, payable upon completion of a business combination[114]. - The underwriters exercised a 45-day option to purchase an additional 3,300,000 units during the initial public offering, resulting in a cash underwriting discount of 2.00%, totaling $5,060,000[118]. - A deferred underwriting discount of 3.50% of the gross proceeds, amounting to $8,855,000, will be payable to BTIG, LLC upon completion of an initial business combination[118]. Financial Obligations and Agreements - The company has no long-term debt or significant contractual obligations as of June 30, 2025, indicating a clean balance sheet[113]. - The company has entered into an administrative services agreement requiring monthly payments of $10,000 for office space and administrative services[115]. Future Financial Plans - The company anticipates using substantially all funds in the trust account for its initial business combination and may withdraw interest to cover tax obligations[108]. - The company does not expect to need additional funds post-initial public offering to cover operational expenditures prior to the business combination[110]. Accounting and Market Risk - The Company has not identified any critical accounting estimates as of June 30, 2025, which could materially differ from actual results[119]. - The Company is not required to make disclosures under market risk as a smaller reporting company[121].
Blue Water Acquisition Corp III-A(BLUW) - 2025 Q2 - Quarterly Report