My broker was trying to hard sell me the placement. He said the...

My broker was trying to hard sell me the placement. He said the bookbuild price of placement was looking like $4.10 (ie the placement is not done at a fixed price).

They are supposedly issuing about 5m new shares. By my understanding, they last traded at $4.40 and the dillution of value is about 12%, so the fully dilluted value when they open again would be $3.87 or so.
the broker said he agreed with me, that mathematically it looks like a losing deal, however, they believe it would do well because of increased earnings next year (placement is for funding the expansion).

I decided not to buy in the placement, because i dont invest to lose money.
Is there anything I am missing or are they really trying to rip me off?