Cytodyn Inc (CYDY)

[ClosetInvestor]

“It’s not today’s share price that would lead only to $50MM, that’s flat out wrong given that $.40x350MM… I guess you mean these recent terms.”

You have to apply the recent Paulson terms to future financing, including the discount from market price and fees. Why? Because that’s the most recent example, which accounts for current SP, risk, etc.

Only 330 million of the 350 million shares remain because Paulson is owed 20 million.

For this example, let’s say Paulson sells 160 million units (1 share and 3/4 warrant). Let’s assume an 85% discount of .40, so each unit costs .34. If Paulson could sell 160,000,000 million units, that would amount to 280,000,000 total shares (160 million share plus 120 million warrants) and gross CYDY $54,400,000.

Paulson gets $50k fee and 13% of cash, so CYDY nets about $47 million from the 280 million shares if everything stays relatively the same. 50 million shares remain of the 350 million additionally approved.