Core Viewpoint - The termination of the exclusive distribution agreement for the AestheFill product between *ST Suwu and Aimeike significantly impacts *ST Suwu's financial stability, as this product accounts for a substantial portion of its revenue and profit [2][6]. Group 1: Company Actions and Reactions - *ST Suwu received a termination notice from Aimeike regarding the exclusive distribution rights for AestheFill, which is critical to its revenue stream [2][3]. - Aimeike's acquisition of Regen and subsequent actions to reclaim distribution rights indicate a strategic move to consolidate control over high-margin products [2][4]. - In response to the termination, *ST Suwu's subsidiary, Datou Medical, is pursuing legal action to contest the termination and is considering reporting Aimeike's actions to regulatory authorities [3][4]. Group 2: Financial Implications - AestheFill contributed approximately 3.26 billion yuan to *ST Suwu's revenue in 2024, accounting for about 20% of total revenue, and over 2.69 billion yuan in gross profit, representing more than one-third of the company's profits [5][6]. - In the first quarter of 2025, AestheFill generated 1.13 billion yuan in sales and 0.92 billion yuan in gross profit, making up 35.55% and 45.77% of the company's respective totals [5][6]. - The loss of exclusive distribution rights is expected to lead to a significant decline in *ST Suwu's medical aesthetics segment revenue and profit in the latter half of the year [6]. Group 3: Market Dynamics - The competitive landscape for aesthetic products in China includes seven licensed products, with AestheFill being a key player among both imported and domestic offerings [5]. - Aimeike and *ST Suwu are both targeting the regenerative injection market, indicating a direct competition for market share in high-growth segments [4][5]. - The market for AestheFill is particularly strong in China, where it has achieved record sales, highlighting the importance of maintaining distribution rights for both companies [6].