Talkspace, Inc. (TALK)
Class Action & Lead Plaintiff Deadline: March 8, 2022
Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Talkspace, Inc. f/k/a Hudson Executive Investment Corporation (“HEIC”) (“Talkspace” or the “Company”) (NASDAQ: TALK; TALKW; TALKW; HEC; HECCW; HECCU) and certain of its officers, on behalf of shareholders who purchased Talkspace (a) securities between June 11, 2020 and November 15, 2021, both dates inclusive (the “Class Period”), and/or (b) common stock as of the record date for the special meeting of shareholders held on June 17, 2021 to consider approval of the merger between HEIC and Talkspace (the “Merger”) and entitled to vote on the Merger (the “Class”). Such investors are encouraged to join this case.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1933 and the Securities Exchange Act of 1934.
Throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Additionally, the Proxy omitted and/or misrepresented material information. Specifically, Defendants and the Proxy made false and/or misleading statements and/or failed to disclose that: (1) HEIC had overstated its competitive advantage and due diligence capabilities with respect to identifying and effectuating a merger with target companies; (2) 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; (3) Talkspace was experiencing significantly increased online advertising costs in its B2C business since the beginning of 2021; (4) Talkspace was experiencing lower conversion rates in its online advertising in its B2C business; (5) as a result of (3) and (4) above, Talkspace was experiencing increased customer acquisition costs and more tepid B2C demand than represented to investors; (6) as a result of (3)-(5) above, Talkspace was suffering from ballooning customer acquisition costs and worsening growth and gross margin trends; (7) Talkspace had overvalued its accounts receivables from certain of its health plan clients in its B2B business, which amounts required adjustment downward; and (8) as a result of (3)-(7) above, Talkspace’s 2021 financial guidance was not achievable and lacked any reasonable basis in fact.
A class action lawsuit has already been filed. You can review a copy of the Complaint and sign the certification form or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. 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.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.