The Law Offices of Vincent Wong announce that a class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of investors who purchased Talkspace, Inc. f/k/a Hudson Executive Investment Corporation (NASDAQ: TALK) (a) Talkspace securities between June 11, 2020 and November 15, 2021, both dates inclusive, and/or (b)Talkspace common stock as of the record date for the special meeting of shareholders held on June 17, 2021.
According to the Talkspace lawsuit, throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (i) Hudson Executive Investment Corporation (“HEIC”) had overstated its competitive advantage and due diligence capabilities with respect to identifying and effectuating a merger with target companies; (ii) HEIC had conducted inadequate due diligence into then-private, pre-Merger Talkspace, or else ignored and/or failed to disclose multiple red flags concerning then-private, pre-Merger Talkspace’s business and operations; (iii) Talkspace was experiencing significantly increased online advertising costs in its B2C business since the beginning of 2021; (iv) Talkspace was experiencing lower conversion rates in its online advertising in its business-to-consumer (“B2C”) business; (v) as a result of (iii) and (iv) above, Talkspace was experiencing increased customer acquisition costs and more tepid B2C demand than represented to investors; (vi) as a result of (iii)-(v) above, Talkspace was suffering from ballooning customer acquisition costs and worsening growth and gross margin trends; (vii) Talkspace had overvalued its accounts receivables from certain of its health plan clients in its B2B business, which amounts required adjustment downward; and (viii) as a result of (iii)-(vii) above, Talkspace’s 2021 financial guidance was not achievable and lacked any reasonable basis in fact.
If you suffered a loss in Talkspace you have until March 8, 2022 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
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