Core Viewpoint - A commercial dispute over the代理权 of "童颜针" (AestheFill) between *ST苏吴 and爱美客 has escalated, with *ST苏吴 seeking 1.6 billion yuan in arbitration against爱美客's subsidiary, Regen Biotech, for breach of contract [1][5][9]. Group 1: Background of the Dispute - The dispute originated on July 18, when爱美客 sent a termination letter to达透公司, revoking its exclusive distribution rights for AestheFill in mainland China [1][5]. -达透公司 had previously secured exclusive sales rights for AestheFill in China through a tripartite agreement signed in August 2022, valid until August 2032 [2][5]. Group 2: Financial Implications - AestheFill has significantly contributed to *ST苏吴's financial performance, generating 3.26 billion yuan in sales revenue in 2024, accounting for 20.42% of the company's total revenue [10]. - The medical aesthetics sector, driven by AestheFill, reported a staggering revenue increase of 4225.64% year-on-year, reaching 3.03 billion yuan in 2024 [10]. Group 3: Market Dynamics - The "童颜针" market is rapidly expanding, with its size growing from 6 billion yuan in 2023 to over 30 billion yuan in 2024, indicating a strong growth trajectory [12]. - The global market for "童颜针" is projected to reach approximately 1.54 billion USD (about 11.04 billion yuan) by 2025, further highlighting its potential as a lucrative segment [12]. Group 4: Competitive Landscape - The dispute reflects the competitive nature of the medical aesthetics market, with both companies vying for control over a high-margin product that has shown remarkable profitability [14]. - As the number of approved "童颜针" products increases, industry experts predict a potential decline in profit margins due to heightened competition [14].

Core Viewpoint - The dispute centers around the exclusive distribution rights of the "AestheFill" product produced by Regen Biotech, Inc., which has significant implications for the financial performance of Jiangsu Wuzhong and its subsidiary, Datou Medical [3][5][8]. Group 1: Company Actions and Legal Proceedings - Datou Medical has initiated arbitration against Regen for breach of contract, seeking to confirm the validity of their exclusive agency agreement and claiming damages of 1.6 billion RMB if the arbitration is unsuccessful [1][7]. - The arbitration has been accepted by the Shenzhen International Arbitration Court, with the outcome uncertain due to potential counterclaims from Regen [1][7]. Group 2: Financial Implications - AestheFill is projected to contribute 330 million RMB to Jiangsu Wuzhong's revenue in 2024, accounting for 20.4% of total revenue, with a significant increase to 110 million RMB in Q1 2025, representing 35.55% of total revenue [5][6]. - The potential loss of distribution rights could lead to a drastic decline in revenue and the loss of several hundred million RMB in market development costs already invested by Jiangsu Wuzhong [7][8]. Group 3: Market Context and Competitive Dynamics - The market for aesthetic injectables, particularly the "童颜针" (youthful needle), has seen explosive growth, with the market size increasing from 100 million RMB in 2021 to over 3 billion RMB in 2024, reflecting a compound annual growth rate exceeding 200% [7][8]. - The acquisition of Regen by Aimei Ke for 190 million USD has altered the competitive landscape, allowing Aimei Ke to consolidate its supply chain and enhance its market position [5][6].