Financial Position - As of September 30, 2025, the company had $1,045,403 in cash and working capital of $1,061,429[110]. - The company has no long-term debt or capital lease obligations as of September 30, 2025, and has a Deferred Fee of $7,043,750 payable to underwriters only if a Business Combination is completed[135]. - The company lacks sufficient financial resources to sustain operations for a reasonable period, raising substantial doubt about its ability to continue as a going concern[134]. Income and Expenses - The company generated net income of $1,879,085 for the three months ended September 30, 2025, primarily from $2,106,133 earned on cash and marketable securities held in the Trust Account[120]. - The company incurred total expenses of $194,790 for formation, general, and administrative activities from inception through September 30, 2025[121]. - The company has incurred $15,500 and $17,833 in administrative services fees for the three months ended September 30, 2025, and the period from inception through September 30, 2025, respectively[136]. Fundraising Activities - The company raised gross proceeds of $201,250,000 from the Initial Public Offering of 20,125,000 Public Units at $10.00 per Unit[115]. - A total of $201,250,000 from the Initial Public Offering and Private Placement was placed in a U.S.-based trust account, with funds held in cash or invested in U.S. government treasury obligations[125]. - The company completed a private placement of 592,250 Private Placement Units at a price of $10.00 per Unit, generating gross proceeds of $5,922,500[124]. Business Combination and Future Plans - The company expects to incur significant costs in the pursuit of its initial Business Combination, with no assurance of success in raising capital[110]. - The company may seek to extend the Combination Period, which would require approval from Public Shareholders[111]. - The company expects primary liquidity requirements during the first twelve months of the Combination Period to total approximately $1,225,000, including $225,000 for legal and accounting expenses, $200,000 for regulatory reporting, and $400,000 for directors' and officers' liability insurance[130]. - The company may need to obtain additional financing to complete its initial Business Combination if the cash required exceeds the proceeds from the Trust Account or if a significant number of Public Shares are redeemed[132]. - The company may issue additional securities or incur debt in connection with the Business Combination if required cash exceeds available funds[132]. Operational Status - The company has not engaged in any operations or generated revenues to date, with activities focused on the Initial Public Offering and identifying acquisition candidates[119]. - The company has entered into an agreement to pay $5,000 per month for office space and administrative support, which will cease upon completion of the initial Business Combination[136]. Accounting and Compliance - The company has not identified any critical accounting estimates as of September 30, 2025[140]. - The company is currently assessing the impact of ASU 2023-09 on its financial position and operations, which requires additional disclosures related to income tax rate reconciliations[142]. Related Party Transactions - The company had borrowed $193,236 through June 16, 2025, and repaid $203,557 to the Sponsor, resulting in an overpayment recorded as a related party receivable[116]. - The company has borrowed $193,236 under the IPO Promissory Note and repaid $203,557 to the Sponsor, resulting in an overpayment of $10,321 recorded as a related party receivable[137].
Blue Acquisition Corp Unit(BACCU) - 2025 Q3 - Quarterly Report