They already made their profit these deals are done weeks before announcement.
The stock is pumped up by press articles and purple haze press releases creating FOMO by retail investors so the institutions can sell into the bid.
They will already have short sold the stock at $1.80 and below and can close out with placement stock at $1.56:
On $140 million shares they bank circa $30 million profit for a few hours work.
Remember Goldman fund the wharehouse facility and are well aware arrears are rising and can simply say to Zip they are reducing the percentage they will advance and Zip has to come back to market for another 300 million.
And so the cycle repeats they short down to the level of the next placement stock.
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