Still confused about this. Probably why I am a small-time investor-speculator.

Instead of being short, would it not be just as easy to make the 2.10 offering, let it run up to around 3 (assumed), then take the 0.90 profit per share?

This implies the shorts planned this out for quite some time. there was a peak of 2.60 on Jan 14, and before that the peak was over 2.40 on Dec 3. To make a similar gain by shorting, they would have had to be in Oct 26-Nov 2 when KRY was around 3 and at 3.50+ on Oct 29.