definitely, no issue with that, but the rules say that he then gets the
"same finishing time of the rider or riders they were with at the time of the incident".
So this doesn't necessarily mean he gets the time of the favourites' group.
If there was a split already, he would need to get the time of the group he was with instead. Can't say for sure if there was a split already when he first indicated his mechanical, but this picture shows Gugliemi (+2:37 in the end) going past him before he stopped, so I'd think it's fairly likely that he was not in the +8s group anymore.