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San Francisco, California--(Newsfile Corp. - December 1, 2021) - Hagens Berman urges Talkspace, Inc. (NASDAQ: TALK) investors with significant losses to submit your losses now.
Talkspace, Inc. (TALK) Investigation:
The investigation focuses on Talkspace's statements, leading up to and after its June 23, 2021 merger with special purpose acquisition company Hudson Executive Investment Corp. (HECCU), that Talkspace's financial reports are prepared in conformity with Generally Accepted Accounting Principles.
More specifically, in the past Talkspace and senior management have touted the company's "broad-based momentum" and its high year-over-year revenue growth.
Their statements came under question on Nov. 15, 2021, when Talkspace announced disappointing Q3 2021 financial results. Management blamed dramatically slowing revenue growth on a lower number of acquired customers in its direct-to-consumer business and on an increased allowance for credit losses of $3.4 million, $2.8 million of which related to prior quarters. The company also announced that co-founders Oren and Roni Frank left the company and relinquished their roles as CEO and Head of Clinical Services, respectively.
Then, on Nov. 22, 2021, Talkspace announced its COO (Mark Hirschhorn) abruptly resigned.
These events prompted several analyst downgrades and drove the price of Talkspace shares sharply lower.
"We're focused on investors' losses and whether Talkspace may have intentionally inflated its receivables and revenue growth and understated its credit loss allowance," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Talkspace and have significant losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Talkspace should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email TALK@hbsslaw.com.
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To view the source version of this press release, please visit https://www.newsfilecorp.com/release/106162