Behind the 160 million layout of Jiangsu Wuzhong 'Child Face Needle', the market has become a blue ocean

Following the 300896. SZ), Changchun Shengboma Biomaterials Co., Ltd. (hereinafter referred to as: Changchun Shengboma), another domestic company announced the layout of the medical beauty subdivision of the "child face needle" track.

On the evening of December 20, Wuzhong, Jiangsu (600200. SH) announced that Jiangsu Wuzhong Aesthetic Biotechnology Co., Ltd. (hereinafter referred to as "Wuzhong Aesthetics"), a wholly-owned subsidiary of the Company, signed the Equity Restructuring Agreement with Dace International Medical Co., Ltd. (hereinafter referred to as "Dace International") and Datto Medical Device (Shenzhen) Co., Ltd. (hereinafter referred to as "Datuo Medical") in Suzhou.

Through the "capital increase + equity transfer", a total of 166 million yuan was invested to obtain 51% of the equity of Cathaut Medical Device (Shenzhen) Co., Ltd. (hereinafter referred to as "Dthur Medical").

Wuzhong Aesthetics invested a total of 166 million yuan (Note: the same below) through capital increase + equity transfer, and obtained 51% of the equity of Dtea Medical. Among them, 90 million yuan was invested in the form of capital increase and 76 million yuan was invested in the equity transfer method (the payment object was Dace International).

Dace International currently enjoys the exclusive sales agency right of The Korean company Regen Biotech, Inc.'s product AestheFill (Chinese name: Aisumei, a kind of poly-bispinolactic acid child face needle) in the Chinese market; Dace International has granted the above agency rights to the target company of this investment, Datto Medical, which applied to the State Food and Drug Administration (NMPA) for approval for listing.

It is understood that AestheFill products have been carried out by Dt medical "randomized, evaluator blind, positive control, multi-center clinical study to evaluate the efficacy and safety of poly-left-right rotation-lactic acid and sodium hyaluronate gel for improving the effectiveness and safety of nasolabial folds", which is a registered clinical study carried out by Dty Medical to submit marketing authorization to the State Food and Drug Administration, and the subjects have all been grouped, and the project is in the stage of data aggregation and pre-statistical analysis.

The first financial reporter found that with the above layout in Wuzhong, Jiangsu Province, this means that AestheFill, which has long been sought after by domestic beauty-loving women, has officially opened the road of domestic "settlement".

AestheFill is commonly known as "child face needle" by the medical aesthetic community. On the medical aesthetic platform, a combination of multiple registered and more than 10 years of practice experience of beauty doctors said that the chemical name of the child's face needle is poly-levolactic acid (PLLA), which can promote the regeneration of collagen in the deep layers of the skin.

Public information shows that the "child face needle" has successively entered the international market since 2009, and the domestic heat has risen from 2017, and the foreign country is 8-10 years earlier than the domestic one. "Child's Face Needle" in the world certification of brands include the United States derma veil , South Korea's AestheFill , France's Sculptra , although favored by the beauty-loving population, but have not obtained NMPA approval, has not yet obtained China's legal listing qualifications.

In addition, Aimek was also approved in June this year. According to the official website of the State Food and Drug Administration, Aimek's "cross-linked sodium hyaluronate gel containing L-lactic acid-glycol copolymer microspheres" was approved.

Although the "child face needle" has been favored by beauty lovers, the regulator still prompted the post-listing follow-up study on the registration certificates of Changchun and Aimeike. The "Remarks" column of Changchun Shengboma's registration certificate said, "In view of the long-term safety and efficacy of the product, further tracking is needed." ”

The "Remarks" column of both registration certificates shows that the registrant should carry out post-marketing follow-up studies after the product is listed, pay attention to long-term safety effectiveness, provide the basis for establishing the main evaluation indicators, sample size and other design-related elements, and actively collect adverse events, focusing on nodules, granulomas, inflammatory reactions, embolism, etc.

An industry insider in the registration industry pointed out that the medical device registration certificate is approved for 5 years. The approval of both said, "When renewing the registration, provide post-marketing follow-up study protocols, reports and information on adverse events as required." ”

Analysts from Soochow Securities Research Report pointed out that at present, the domestic hyaluronic acid market presents Red Sea competition, but the supply of high-quality medical beauty products that can meet the diversified needs of beauty seekers is not much, and "Child Face Needle" is expected to quickly open the high-end market.

The above-mentioned Soochow Securities Research Report said that the current domestic filler market is dominated by hyaluronic acid, and rapid growth, according to the "New Oxygen Medical Beauty Industry White Paper" data, in 2019, hyaluronic acid accounted for 66.59% of the injectable medical beauty projects, with a growth rate of 53.11%. Frost & Sullivan data shows that from 2016 to 2019, the sales share of the three major domestic hyaluronic acid brands (Aimeike, Bloomage Biotech, haohai biotech) increased from 20.5% to 28.1%, an increase of 7.6 percentage points. However, from the perspective of market pattern, domestic brands are still mainly distributed in the low-end market. In 2019, the top three manufacturers in sales are all overseas brands, with a market share of nearly 60%, so domestic brands are relatively lacking in the high-end filler market.

"The 'child face needle' market is a new industry full of profits and temptations, and with the further layout of these enterprises, it will become a blue ocean market in the future." A researcher at the Beauty Industry Research Institute said that the current market education level of the "child face needle" industry is not enough, the market consumption penetration rate is not high, and there is a certain uncertainty in the process of cultivating consumer users in listed medical beauty companies.

Cinda Securities Research Report believes that compared with the domestic approved girls' needle products, the child face needle has the advantage of longer maintenance time (general child face needle can be maintained for more than 2 years). Tong Yan needle belongs to the anti-aging products have become the key demand in the field of medical beauty, the demand is strong, according to the new oxygen data, about 30% of the 19 years of medical beauty consumption appeals for anti-aging, 20 years of the main anti-aging project Thermage consumption increased by 137%, far better than the industry growth rate.

However, the first financial reporter's investigation found that many women who love beauty also face postoperative risks after injecting "child face needles", which is mainly caused by improper operation by doctors, and such case disputes are numerous on the Chinese judgment document network.

Previously, the reporter found in the beauty department of hospitals in Jiangsu and other places that women who love beauty lined up to play hyaluronic acid and children's face injections and other products. Market participants predict that with the further expansion of the domestic child face needle market, professional beauty doctors will also become scarce in the future, which will also bring a certain resource run.