Problem is that the funder is selling their shares at a profit;...

Problem is that the funder is selling their shares at a profit; that is greater than 8.6 cents and it is more than the market can absorb. These sort of financiers do not care about this so long as they get their money back and make some money in the process. Until the company comes up with more long term financing the share price will continue to go lower as this next lot of 7,912,722 shares come onto the market as sell orders.