Kotak Buys Sonata Fin For ₹537cr: Kotak Mahindra Bank (KMB) has entered into binding share purchase agreement(s) to acquire 100 per cent of equity shares of Sonata Finance Pvt Ltd (SFPL), a Non-Banking Finance Company – Micro Finance Institution (NBFC-MFI), from existing shareholders for a cash consideration of about ₹537 crore.
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The indicative time period for completion of the acquisition is H1 (April-September) FY24. With this acquisition, SFPL will be a wholly owned subsidiary of the Bank after receiving regulatory and other approvals, per a KMB statement. Sonata Finance is a non-banking finance company, which is engaged in microfinance.
Impact: This acquisition will provide Kotak Mahindra Bank access to 502 branches across the ten states.
The SFPL will become a wholly owned subsidiary of the bank after receiving regulatory and other approvals.
MD & CEO of Kotak Mahindra Bank: Uday Kotak.
