How do you figure he got hosed? Because of the rights offering the stock was expected to drop by about $30 a share before trading began on Aug 23rd. This is similar to how the price of other stocks are affected before and after dividend dates.
In hindsight we can see he would have done better if he'd bought a few days sooner. Of course we won't know the true value of each individual right until we find out to what extent participants are able to oversubscribe.