Valence Technology eyes exclusivity extension to negotiate new plan

By Caroline Salls

Pittsburgh, June 27 - Valence Technology, Inc. requested a fourth extension of its exclusive periods for filing a plan of reorganization and soliciting votes on the plan, according to a Thursday filing with the U.S. Bankruptcy Court for the Western District of Texas.

The company wants to convert its exclusive filing period through Oct. 7 from July 8 and the solicitation motion through Dec. 5 from Sept. 6.

According to the motion, Valence needs more time to secure the funding necessary to propose a plan.

In addition, the company said its needs time to negotiate an alternative plan after lender consent was not obtained for a proposed letter of intent submitted by a potential purchaser.

Lender Berg & Berg Enterprises, LLC also submitted a proposal that would include exit financing. Valence said it is currently considering Berg & Berg's proposal as an alternative plan.

Austin, Texas-based Valence Technology is a developer of lithium-ion batteries. The company filed for bankruptcy on July 12, 2012. The Chapter 11 case number is 12-11580.

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