Zhong Zheng Wang·2025-07-23 02:05Core Viewpoint - The termination of the exclusive distribution agreement between Regen and Datou Medical is expected to significantly impact the sales and profits of *ST Suwu's medical aesthetics segment, as it will lose the exclusive rights to sell the AestheFill product in mainland China [1][4]. Group 1: Company Actions - On July 18, 2025, Regen sent a termination letter to Datou Medical, revoking its status as the exclusive distributor for the AestheFill product in mainland China [1][3]. - Following the termination, Datou Medical is prohibited from conducting any business activities as the exclusive distributor and will not be able to place any further orders with Regen [3][4]. - *ST Suwu has initiated a response plan upon receiving the termination letter and is prepared to take legal action if necessary to protect its rights [5]. Group 2: Financial Impact - In 2024, AestheFill generated sales revenue of 326 million yuan, accounting for 20.42% of *ST Suwu's total revenue, with a gross profit of 269 million yuan, representing 34.80% of the company's gross profit [4]. - In the first quarter of 2025, AestheFill sales revenue reached 113 million yuan, making up 35.55% of the company's revenue, with a gross profit of approximately 92.44 million yuan, which is 45.77% of the total gross profit [4]. - The loss of exclusive distribution rights is expected to lead to a significant decline in revenue and profit for the medical aesthetics segment in the second half of 2025 [4]. Group 3: Background Information - The exclusive distribution agreement was originally signed between REGEN and Datou Medical, with the latter acquiring exclusive rights to AestheFill in mainland China in August 2022 [2]. - The agreement was violated by Datou Medical, which allegedly transferred the exclusive distribution business to its controlling shareholder, Jiangsu Wuzhong Meisheng Biotechnology Co., Ltd., leading to the termination [3].