U.S. law firm Berger Montague is investigating what it describes as "potential violations of the federal securities laws" and "securities fraud claims" on behalf of investors in Telus International (Cda) Inc. (TSX:TIXT; NYSE:TIXT).
That company is a spinoff of Telus Corp. (TSX:T). It went public in 2021, with shares spiking 21.6 per cent in its first day of trading. It has since rebranded as Telus Digital Experience.
The investigation is focused on whether the company and its senior executives misled investors about corporate financial performance, specifically related to artificial intelligence (AI) offerings. The alleged miscommunication happened between Feb. 16, 2023, through to Aug. 1, 2024, as reflected in what Berger Montague said would be a pending shareholder lawsuit.
As a result of Telus International's disclosures on Aug. 1, 2024, the company's share price fell almost 36 per cent on Aug. 2, to $4.15 per share from a closing price of $6.48 per share on Aug. 1.
Further share-price declines followed the next day, with shares closing at $3.32, or more than 48-per-cent lower than two days earlier.
The Vancouver-based company is a global provider of digital products to enhance customer experiences. This includes digital-experience solutions, such as AI and bots, and customer-experience solutions that help workers perform tasks from home, or elsewhere. It also offers customer-experience support in more than 50 languages across traditional and digital channels
