They are only getting about $2.8mil (before costs) so that is a fraction of the annual expenditure. This is prolonging the agony - and not solving the underlying the dire financial problems.
Even at 2.3 cents (plus options) the SP will fall even further and they may be lucky to get the offer fully subscribed.
Older shareholders have seem the writing on the wall and have already abandoned the ship and only new shareholders are pushing this three wheeled wagon currently.
Death spiral financing is a big issue here as you pointed out.
