Core Viewpoint - ST Suwu has announced arbitration against Regen Biotech, Inc. for a claim of 1.6 billion yuan due to a breach of contract regarding the exclusive distribution rights of the "AestheFill" product, which has led to significant financial distress for the company [2][4][7]. Group 1: Company Situation - ST Suwu's stock price has fallen to 1.07 yuan per share, just above the "1 yuan delisting" threshold, following a series of financial and operational challenges [4][11]. - The company is facing severe penalties from the China Securities Regulatory Commission (CSRC) for concealing the actual controlling shareholder and financial fraud, with a potential fine of 15 million yuan and a 10-year market ban for the controlling shareholder [14]. - ST Suwu and its subsidiary have invested over 400 million yuan in the clinical registration and market expansion of the "AestheFill" product, which has now put them in a precarious survival situation [9]. Group 2: Legal and Financial Implications - The arbitration request has been accepted by the Shenzhen International Arbitration Court, with ST Suwu reserving the right to adjust the claim amount based on the case's progress [7]. - The company has publicly accused Aimeike of "capital bullying" and harming the interests of over 80,000 small investors and thousands of employees [7][9]. - Despite the potential for a successful arbitration, analysts suggest that the lengthy process may not provide immediate relief for ST Suwu, which is already on the brink of delisting [14]. Group 3: Market Context - Aimeike's acquisition of Regen Biotech has raised concerns about its commitment to the Chinese market, as it has allegedly delayed supply to ST Suwu's core business [9]. - The "AestheFill" product, known as "童颜针," is a high-margin regenerative aesthetic injection that has been crucial for ST Suwu's financial turnaround [17]. - Aimeike has experienced a significant decline in revenue growth, with its stock price dropping from a peak of 596 yuan to below 200 yuan, indicating a challenging market environment for high-end aesthetic products [17][18].