1. CELlid’s 5 Billion Won Lawsuit: What Happened?
On September 18, 2025, CELlid announced a ‘Trademark Use Prohibition Injunction Appeal’. Filed by GreenGenius Co., Ltd., this lawsuit aims to prohibit CELlid from using its “for.baker” trademark for its e-commerce business. The claimed amount is a substantial 5 billion won, representing 9.77% of CELlid’s assets. The outcome of this lawsuit could significantly impact the company’s future.
2. CELlid’s Fundamentals: Positive vs. Negative Factors
- Positive Factors: Completion of Phase 3 clinical trials for COVID-19 vaccine, stable revenue from e-commerce, growth potential of CMO/CDMO business, capital secured through rights offering.
- Negative Factors: Continuous operating losses, high R&D expenses, uncertainties in new drug development, and this trademark lawsuit.
3. Impact of the Lawsuit on CELlid’s Stock Price
- Direct Impact: “for.baker” accounts for 99.9% of CELlid’s total revenue. A ban on trademark use will inevitably lead to a sharp decline in sales.
- Financial Burden: A 5 billion won payment would exacerbate CELlid’s financial difficulties and necessitate additional fundraising.
- Stock Price Decline: Negative investor sentiment is likely to put downward pressure on the stock price, increasing volatility.
4. Investor Action Plan: What Should You Do Now?
Investors should closely monitor the outcome of the lawsuit and the company’s response strategy. The potential for short-term stock price decline necessitates cautious investment decisions. Maintaining a wait-and-see approach until uncertainties are resolved is advisable. Continuously monitor further disclosures and news releases.
Frequently Asked Questions (FAQ)
What is the key issue in the CELlid trademark lawsuit?
The dispute revolves around the usage rights of CELlid’s e-commerce brand “for.baker.” The plaintiff seeks to prohibit CELlid from using the trademark and is demanding 5 billion won in damages.
How will this lawsuit affect CELlid’s stock price?
A ban on trademark use could severely impact CELlid’s revenue, potentially leading to a stock price decline. Volatility may increase depending on the lawsuit’s outcome and the company’s response.
How should investors react?
Investors should carefully monitor the lawsuit’s progress and the company’s disclosures. Exercise caution in investment decisions and be mindful of short-term price volatility. A wait-and-see approach is recommended until uncertainties are resolved.
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