Infosys clarifies what led to the 40% surge in its ADR

Infosys Ltd. on Saturday, December 20, issued a clarification after the New York Stock Exchange (NYSE) paused American Depositary Receipt (ADR) trading on December 19.

In an exchange filing, Infosys clarified that there are no material events that require disclosure under the Securities and Exchange Board of India (SEBI) Regulations, 2015.

Infosys said it observed volatility in the price of its ADR on the NYSE on December 19, which resulted in two volatility trading pauses

being triggered by the stock exchange.

"The communication is being issued in the interest of transparency and to avoid any unwarranted speculation," it said.

In another exchange filing on Saturday, Infosys provided updates on certain class action lawsuits that were also mentioned in its financial statements.

It said on December 18, the court granted the final approval on the settlement of lawsuits filed against Infosys McCamish Systems LLC and a few of McCamish's customers.

In November, 2023 the company said it had reached an agreement in principle with the plaintiffs of the lawsuits pending against Infosys McCamish Systems LLC and a few of its customers. On March 13, 2025, McCamish and the plaintiffs reached an agreement in principle, which set forth the terms of a proposed settlement of class action lawsuits against the former, as well as class action lawsuits that were filed against MCamish's customers.

Under the proposed settlement terms, McCamish agreed to pay $17.5 million into a fund to settle these matters. The court granted the final approval regarding the same on December 18, 2025.

If the settlement is not appealed within 30 days, then it will become effective and resolve all allegations made in the class action lawsuits without admission of any liability, Infosys said on Saturday.

Infosys shares ended the previous trade session 0.7% up at ₹1,638 apiece. The stock has declined 13% this year, so far.