Core Viewpoint - The article discusses allegations against Juzi Biotechnology regarding the authenticity of its recombinant collagen products, leading to a significant drop in its stock price and market value [1][2][4][8]. Group 1: Allegations and Responses - Beauty influencer "Big Mouth Doctor" accused Juzi Biotechnology of serious fraud, claiming that its recombinant collagen serum could not be detected as advertised, with a reported collagen content of only 0.0177% [1][8][9]. - Juzi Biotechnology's brand, Kefu Mei, firmly denied these allegations, stating that their product tests showed collagen content exceeding 0.1%, and they have engaged third-party testing agencies for further verification [4][12]. Group 2: Financial Impact - Following the allegations, Juzi Biotechnology's stock opened down over 8% and closed with a decline of 4.04%, resulting in a market capitalization below 800 billion HKD [2]. - The company has experienced rapid revenue growth, with a reported revenue increase from 9 billion to 55 billion CNY from 2019 to 2024, and a net profit rise from 5.5 billion to 20.6 billion CNY during the same period [15][16]. Group 3: Company Background and Market Position - Juzi Biotechnology, led by Fan Daidi, a vice president of Northwest University, is a leader in the recombinant collagen sector, with a product range that includes functional skincare, medical dressings, and medical devices [14][16]. - The company has established a strong market presence, with its products available in 1,700 public hospitals, 3,000 private hospitals and clinics, and 6,000 cosmetic specialty stores [14]. Group 4: Industry Context - The recombinant collagen and medical beauty sectors are characterized by high profit margins, with Juzi Biotechnology boasting a gross margin of 82% [16]. - The industry has seen significant interest and investment, with Juzi Biotechnology's IPO in 2022 raising 584 million HKD and subsequent financing rounds in 2024 raising over 16 billion HKD [16].

Core Insights - The article highlights the rise of Fan Daidi, the new vice president of Northwest University, who has become the richest person in Shaanxi province due to her and her husband's successful ventures in the biotechnology and defense sectors [1][3]. Company Overview - Fan Daidi and her husband, Yan Jianya, control two publicly listed companies: Juzhi Biotechnology and Triangle Defense, with market capitalizations of approximately 882.96 billion HKD and 143 billion HKD, respectively, as of May 13 [1][3]. - Juzhi Biotechnology is recognized as China's largest collagen protein company, achieving a revenue of 5.539 billion CNY in 2022, a year-on-year increase of 57.2%, and a net profit of 2.062 billion CNY, up 42.1% [1][11]. Industry Position - Juzhi Biotechnology operates in the high-margin field of recombinant collagen, with a gross margin of 82.09% [1][11]. The company has expanded its product offerings to include medical dressings and functional foods, positioning itself as a leader in the beauty and medical skincare market [11]. - The company has been referred to as the "Moutai for women," indicating its high profitability and market demand [11]. Financial Performance - Juzhi Biotechnology has seen rapid growth, with revenue increasing from 900 million CNY in 2019 to 5.539 billion CNY in 2022, and net profit rising from 550 million CNY to 2.062 billion CNY during the same period [11]. - Despite high growth and profitability, the company has engaged in frequent financing activities, raising a total of 4.56 billion HKD since its IPO in 2022 [13]. Leadership and Innovation - Fan Daidi has made significant contributions to the field of recombinant collagen, holding numerous patents and awards, including the National Technology Invention Award [9][11]. - Yan Jianya, initially a chemical engineering teacher, transitioned into the defense sector by founding Triangle Defense, which focuses on providing services to the national defense industry [5][7].