What is the company’s financing source for the buyback and does it affect its balance sheet or credit metrics?

Financing source – Senvest Capital’s NCIB is being carried out on a “normal‑course” basis, which in practice means the company will use its existing cash balances and internally‑generated cash flow rather than raising new debt or equity. The press release does not announce any external financing, and given the modest size of the buy‑back (≈ 100 k shares, ~4 % of the float) a cash‑‑funded approach is the most straightforward and cost‑effective for a small‑cap, low‑liquidity stock.

Balance‑sheet and credit‑metric impact – Because the repurchase is financed with cash on hand, the transaction simply reduces the asset side (cash) and the equity side (share capital) in equal measure. No new liabilities are created, so leverage ratios (debt‑to‑equity, net‑debt‑to‑EBITDA, etc.) remain unchanged and, in fact, may improve marginally as the company’s asset base shrinks while its capital structure stays the same. Consequently, the buy‑back should not materially affect Senvest’s credit metrics or its credit rating.

Trading implication – The cash‑‑funded buy‑back will thin the float and can provide a modest price‑support floor, especially in a market where the stock trades on low volume. With no added debt risk, the repurchase is a clean, shareholder‑friendly move that does not introduce balance‑sheet or credit‑concern flags—an encouraging signal for risk‑averse investors and a potential catalyst for short‑term upside. Keep an eye on execution volume; if the market sees a larger‑than‑expected repurchase, the reduction in supply could sharpen price moves.