.2 min read Final Updated: Aug 12 2024|9:17 PM IST.Kotak Mahindra Trust Monday mentioned Sonata Money Private Ltd and BSS Microfinance Ltd, each wholly-owned subsidiaries of the bank, at their particular panel meetings have authorized a system of combination.According to the program of combination permitted on Monday, Sonata would combine with BSS Microfinance Ltd on a going concern manner, Kotak Mahindra Bank stated in a regulatory submitting.The system would undergo the approval of the corresponding shareholders and also creditors of Sonata and BSS as well as the approval of the worried National Firm Rule Tribunal (NCLT) and also other regulative authorities, it pointed out.The combined total assets of Sonata and also BSS is less than 2 percent of the total assets of the bank, as on March 31, 2024, it stated.Sonata and also BSS Microfinance deal is at an upper arm's duration rate based on valuation file gotten coming from a private authorized valuer, it stated.BSS would issue and also allot to the shareholders of Sonata cooperate portion of 1,931 allotments of face value of Rs 10 each in BSS for every single 10,000 allotments of stated value of Rs 10 each stored through all of them in Sonata pursuant to system of intermixture, it said.The plan of amalgamation is in between two non listed subsidiaries of the financial institution and the financial institution is certainly not a party to the program, it claimed.As a consequence of this combination, it said, there will be no change in the shareholding pattern of the bank.BSS and Sonata act as company correspondents for the financial institution as well as deliver micro financial, unsafe small ticket finances and also little market value safeguarded finances to females borrowers and also people on behalf of the lending institution.Sonata's net worth was actually Rs 389 crore while BSS' stood up at Rs 1,010 crore in the end of March 31, 2024.Kotak Mahindra Banking company announced accomplishment of Sonata Money in February 2023. Acknowledgment: Facilities regulated due to the Kotak family members have a notable holding in Service Criterion Pvt Ltd. Very First Published: Aug 12 2024|9:17 PM IST.