Financial Performance - For the three months ended September 30, 2025, the company reported a net income of $2,292,067, primarily from $2,715,577 earned on cash and marketable securities held in the Trust Account[104]. - For the nine months ended September 30, 2025, the company had a net income of $2,660,637, with $3,272,459 earned on cash and marketable securities, offset by various expenses totaling $611,822[105]. Financial Position - As of September 30, 2025, the company had cash of $759,229 and a working capital deficit of $577,284, compared to a deficit of $(48,541) as of December 31, 2024[106]. - 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[109]. - The company has no long-term debt or contractual obligations as of September 30, 2025[116]. Initial Public Offering (IPO) - 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[110][111]. - 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 an initial business combination[117]. - The cash underwriting discount for the IPO was 2.00% of the gross proceeds, totaling $5,060,000[121]. - The underwriters were granted a 45-day option to purchase an additional 3,300,000 units, which was fully exercised on the IPO date[121]. - A deferred underwriting discount of 3.50% of the gross proceeds, amounting to $8,855,000, will be payable upon completion of an initial business combination[121]. Operational Costs - The company has incurred significant costs related to being a public entity and expects expenses to increase substantially after identifying a target for its initial business combination[103]. - The company has entered into an administrative services agreement requiring monthly payments of $10,000 for office space and administrative services[118]. Accounting and Reporting - The Company has not identified any critical accounting estimates as of September 30, 2025[122]. - As a smaller reporting company, the Company is not required to make disclosures about market risk[124].
Blue Water Acquisition Corp III-A(BLUW) - 2025 Q3 - Quarterly Report