I agree, I have just checked the latest SEC forms, the private investors paid roughly 18 cents per equivalent share, which is 23 - 5: 23 cents paid per unit which is made of a stock + a warrant whose value is around 5 cents (source: equivalent valuation of the warrants done by the company in its latest 10Q, I reran the valuation with the new warrant parameters and ended up with the same number as Cytodyn produced, roughly 5 cents)
18 cents is MUCH better than what the gullible public investors pay. But I agree, the spread still requires the private investors to PROMOTE THE STOCK THE BEST THEY CAN, including LYING ABOUT FAKE OPPORTUNITIES THAT WILL NEVER MATERIALIZE. And 5 cents of value are trapped in a warrant which requires the stock price to exceed 50 cents, LOTS OF LIES NEEDED TO GET THERE.
As a side note, what's funny is that 18 cents a share is not the cash that the company gets for all this MASSIVE DILUTION. The company gets much less, as Paulson is paid a huge amount of fees. Speaks volume about the inability of the company to get good quality funding. They have to deal with the bottom of the trash.