Cytodyn Inc (CYDY)

[jboatswain]

When PCYC was sinking, one of the major investors became the director, then CEO. He put his own money and ran it. In the end, he made $3.5B. That is 16% of PCYC. Having a right drug alone does NOT get multi billion buyout.

In 2011, Janssen entered in PA agreement for $950M. Initial payment was $150M. Right after that agreement, PCYC was trading around $13. Basically for a company to get multi billions, the market needs to step in and prevent the market cap from bleeding. That's what Duggan did: he was scooping shares whenever it was falling down. In Jan 2015, it was trading around $130. In May, it was scooped up for $260 PPS.

Basically, it is double the market cap. And this is common. TBRA is kind of exception.