.2 minutes read Last Upgraded: Aug 12 2024|9:17 PM IST.Kotak Mahindra Trust Monday pointed out Sonata Money management Private Ltd as well as BSS Microfinance Ltd, both wholly-owned subsidiaries of the financial institution, at their respective board meetings have approved a plan of combination.Based on the scheme of combination accepted on Monday, Sonata would merge along with BSS Microfinance Ltd on a going issue basis, Kotak Mahindra Bank claimed in a regulatory submission.The plan would be subject to the commendation of the particular investors as well as lenders of Sonata and also BSS and also the approval of the anxious National Firm Regulation Tribunal (NCLT) as well as other regulatory authorities, it pointed out.The consolidated net worth of Sonata as well as BSS is actually lower than 2 per cent of the total assets of the financial institution, as on March 31, 2024, it pointed out.Sonata and also BSS Microfinance transaction goes to an arm's duration price based upon assessment report acquired coming from an individual licensed valuer, it said.BSS will issue and also allocate to the shareholders of Sonata cooperate proportion of 1,931 portions of stated value of Rs 10 each in BSS for each 10,000 allotments of stated value of Rs 10 each held by them in Sonata according to scheme of combination, it pointed out.The scheme of amalgamation is actually between pair of unrecorded subsidiaries of the bank as well as the financial institution is actually certainly not a celebration to the system, it claimed.Therefore of this particular combination, it mentioned, there would certainly be no improvement in the shareholding pattern of the banking company.BSS and also Sonata function as company contributors for the banking company and also offer micro finance, unprotected tiny ticket loans and also tiny market value safeguarded car loans to females debtors as well as people in support of the finance company.Sonata's total assets was actually Rs 389 crore while BSS' stood at Rs 1,010 crore by the end of March 31, 2024.Kotak Mahindra Bank declared acquisition of Sonata Finance in February 2023. Declaration: Companies controlled by the Kotak family have a considerable holding in Business Standard Pvt Ltd. First Released: Aug 12 2024|9:17 PM IST.