GeneSYS ID Inc fka GNID

[Toxic Avenger]

I'm afraid you are completely wrong. You're starting with the erroneous assumption that ANYONE would hand them $40 million (they have so far failed to receive the $1 million "starting equity") with the current balance sheet and share structure.

In fact, in IPOs, there's a commitment from the underwriter to buy all the shares allocated to them at a fixed price. That determines valuation. Then the underwriter must sell those shares to their customers. The fact that WS is not underwriting this offering, but simply offering it to other investors, who of course, will not take it means they can provide whatever price (value) they want. No exchange will accept that valuation until there are shares being traded at that price.