Core Viewpoint - *ST Suwu has announced an arbitration claim against Regen Biotech, Inc. for 1.6 billion yuan due to a breach of contract, while the company's stock price is perilously close to the 1 yuan delisting threshold [1][4][10]. Group 1: Company Situation - *ST Suwu's stock price has fallen to 1.07 yuan per share, down 5.31% from the previous trading day, putting it just one step away from the delisting threshold [4][10]. - The company is facing severe challenges due to allegations of concealing the actual controller and financial fraud, leading to a warning from the China Securities Regulatory Commission (CSRC) [4][10]. - The company claims that the actions of Regen have put it and its subsidiary, Datou Medical, in a life-and-death situation, severely harming the interests of over 80,000 small investors and thousands of employees [5][8]. Group 2: Legal and Financial Issues - *ST Suwu plans to claim 1.6 billion yuan in damages from Regen, with the right to adjust this amount based on the case's progress [4][10]. - The CSRC has issued a notice indicating that *ST Suwu's financial misconduct involved inflating revenue by 1.77 billion yuan and profits by 75.9975 million yuan from 2020 to 2023 [10]. - The company has been warned of a forced delisting risk due to serious violations, which could lead to the termination of its stock listing if the CSRC's final decision confirms the violations [10]. Group 3: Industry Context - The acquisition of Regen by Aimeike in March 2023 for 190 million USD aimed to enhance its market presence in the aesthetic medicine sector, but the company is now facing growth challenges [12]. - Aimeike's revenue and net profit growth have sharply declined to single digits in 2024, marking the lowest performance since its listing, amid increasing competition in the hyaluronic acid market [12]. - Analysts suggest that the acquisition could help Aimeike improve its international market share and reduce reliance on the domestic market [12].