VLNC: Valence Technology, Inc.(fka VLNCQ)

[espnrick]

Anything ever happen with the Class action. Or did Berg get away with the crime

[Mr Clutch]

Source:

http://www.otcbb.com/asp/dailylist_detail.asp?d=03/06/2014&mkt_ctg=NON-OTCBB

What it means:

http://wiki.fool.com/What_Happens_When_a_Company_Cancels_Its_Common_Stock%3F

[Archetype]

source?

[Mr Clutch]

Thanks...write-off?

[da_cheif]

common was canceled at 429pm est last nite

[Mr Clutch]

Wow...shares aren't in my account. The form said 3/7. Any info is appreciated...

[vCISO]

Stock barber ....be careful. Just saying.

[Renee]

Likely insiders knew that stock would be cancelled and conducted a run to unload shares before the stock was cancelled after-hours. Absolutely criminal in every context.

[Stock_Barber]

And yet it doubled today! :)

[Renee]

VLNCQ: BK Plan effective. All shares cancelled at 4:28 P.M. EST:

http://www.otcbb.com/asp/dailylist_detail.asp?d=03/06/2014&mkt_ctg=NON-OTCBB

[greenleaf247]

So I actually just called valence, and the nice lady there told me that it is a PRIVATE company. I don't know how they are listed and selling shares if it is a private company. I'm a bit of a noOb, so can someone tell me what is going on?

[Mr Clutch]

"Phase 1 of our business organization plan was to formulate a turnaround plan and exit Chapter 11 successfully.

Now that Phase 1 has been completed, we are moving on to Phase 2 which is to quickly reach profitability by executing our turnaround plan and to continue the reputation of Valence as the global leader in the Lithium ion battery industry.

I am very pleased to be able to announce the appointment of our three new Vice Presidents who, along with the rest of the Valence team, will be working very hard to make sure Phase 2 of our business reorganization plan is a success," says President and CEO, T. Joseph Fisher.

[gladeshawk]

Making money but risky. I thought they were done, BK?

[PAUL_MARKOWITZ]

Thanks folks... let's make money... if a second leg, we see sniff a dime today...

[HotGG]

Nope - you're not alone... Quietly been sitting here for a while and bought in at .006 exactly 1 mo ago!! VLNCQ$$

[gladeshawk]

You are not alone. I made a small trade. I still do not understand how this is still trading. But it I what it is. Got a tip from a friend yesterday and picked up shares. I think he traded a bit also. This stock had some big interest years ago before the BK. HAWK.

[PAUL_MARKOWITZ]

Ohhh am I alone here??? looks like we are gonna sniff the dime!!!!

[PAUL_MARKOWITZ]

Small stock going parabolic... weeeeeee... making $$$

[PsD]

The Court gave permission for new common shares to be traded and Mr. BERG owned
100% of shares on December 3, 2013. Are the new shares been traded by Mr. Berg.
The Board member i spoke to said no (Mr, Berg) . What is going to happen with the shares
traded in 2014 ? Who gave permission for the trade ? Scottrade, Fidelity et.c are allowing
members to buy and sell.

[espnrick]

Just came acros this:
HENDERSON, Nev., Feb. 10 /PRNewswire/ -- Valence Technology Inc. (Nasdaq: VLNC) today announced that a settlement has been reached in the securities class-action lawsuit that had been pending against the company and certain of its present and former officers and directors.

Under the settlement, which is subject to court approval and certain other ordinary contingencies, the claims against the company and all other defendants will be dismissed without presumption or admission of any liability or wrongdoing.

The full amount of the cash settlement and associated legal costs to date has been either previously expensed, reserved for or fully covered by the company's insurance carriers. Under the terms of the settlement Valence will pay $1.3 million in cash and 950,000 shares of common stock to the class fund. The company will take a charge for the impact of the stock portion of this settlement during the fourth quarter ending March 26, 2000.

Commenting on the announcement, Valence Chairman and Chief Executive Officer Lev Dawson stated, "While we continue to deny liability, the settlement of these lawsuits is in our stockholders' best interest. Continuing the litigation would have been very expensive and distracting to management, and the settlement will resolve any uncertainty about the lawsuits among the company's stockholders, customers, suppliers and other business partners."

[PsD]

Thank you, I must have made a mistake when I read the opposite.

[iheartweimers]

Do not buy this worthless stock. This is now a privately held
company. See their web page.
http://www.valence.com/about/history

[PsD]

BERG & BERG JUST INVESTED 20 MILLION DOLLARS. THEY ARE OUT OF
CH.11 BANKRUPTCY, AND A NEW BOARD HAS BEEN SELECTED.

IN MY BOOK THAT'S A BUY SIGNAL.
PLEASE TELL ME WHY I AM WRONG.
AM I MISSING SOMETHING? I WOULD LIKE TO BUY MORE BUT I DON'T
SEE TOO MANY BUYERS AND PERHAPS BECAUSE I AM NEW WITH THIS STOCK
I DON'T SEE THE PROBLEM WITH IT. THANKS.

[trunkmonk]

Its true, turds do float.

[trunkmonk]

For anyone out there, you have about 4 weeks to dump shares for a write off this year.

[trunkmonk]

shareholder perspective?
you do realize we think Berg is a thief in the night, a liar, and someone not to be trusted. is there any other perspective that proves us wrong. he deliberately excluded shareholders in everything and undervalues the company by at least a 100 million in my estimation, thus he would have stole from shareholders.

that letter is a joke and just a testament to what a shell the company is, a money making tool for Berg.
Berg only needed to give them a 10th of what he just came up with to keep the doors open before BK.

they are stronger now, I can smell the stench all the way from here.

[Mr Clutch]

Haven't been to Valence site recently, but today I did. This was on it...hope the future is a little brighter from shareholder perspective.

http://www.valence.com/sites/default/files/valence_technology_exits_chapter_11_official_press_release.pdf

[trunkmonk]

if its a glitch, which you know it is, why did you post anything. why are you here?
you spent years trying to get everyone to buy this stock, making statements like going to 100, to da moon, follow da money, watch da sky. yet none of your predictions are right?
are you saying this is going anywhere but to 0? or are you just hoping for personal recovery reasons?
I, as a long time shareholder would like to know. considering how bad your stock picking record is.

[da_cheif]

hey finbar.........tonite on freerealtime
bid .24 ask .267 HUH??????....must be a glitch.....

[trunkmonk]

more delays so MMs have time to putz around with shares for a while.
I sure hope its over very soon, some people need to move on.
dirty deeds done here, shareholders know it very well.
great products, crummy BOD.
hard to believe he will get away with it. I liked Kanode, he really tried, Berg filled his pockets, but his reputation went down the tubes cause he did Berg's bidding, like it or know it, or not.

[ErnieBilco]

SHARES ARE TOAST ONCE THE GAVEL FALLS.

[Mr Wowza]

8K
Item 8.01. Other Events.



As previously disclosed, on July 12, 2012, Valence Technology, Inc. (the “Debtor”) filed a voluntary petition for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Western District of Texas (the “Bankruptcy Court”), which is being administered under the caption “In re Valence Technology, Inc.,” Case No. 12-11580.



On August 21, 2013, the Debtor filed a proposed plan of reorganization (the “Plan”) and related disclosure statement with the Bankruptcy Court, soliciting acceptances of the Plan and seeking confirmation of the Plan by the Bankruptcy Court. On September 20, 2013, the Debtor filed a proposed amended plan of reorganization (the “Amended Plan”) and related proposed amended disclosure statement with the Bankruptcy Court . On September 23, 2013, the Bankruptcy Court issued an order approving the Disclosure Statement (the “Approved Disclosure Statement”) and scheduling a confirmation hearing with respect to the Amended Plan on October 30, 2013 at 1:30 p.m. (central time).



The Amended Plan provides for the resolution of outstanding claims against the Debtor. Among other things, the Amended Plan provides that (i) each holder of an allowed Priority Non-Tax Claim (as defined in the Amended Plan), an allowed DIP Claim (as defined in the Amended Plan), an allowed Convenience Claim (as defined in the Amended Plan) or an allowed general unsecured claim of $500 or less will be paid in full; (ii) Berg & Berg Enterprises, LLC (the “Pre-petition Secured Lender”), the holder of pre-petition secured indebtedness of the Debtor, will extend the maturity date of part of its pre-petition secured claim under a new promissory note secured by a first priority lien against all of the reorganized Debtor’s assets, and receive, in exchange for its remaining pre-petition secured claim in the amount of $50 million, 100% of the shares of New Valence Stock (as defined in the Amended Plan), representing 100% of the reorganized Debtor’s issued and outstanding shares of capital stock on the effective date, (iii) holders of certain classes of unsecured claims will receive payment in full over time, (iv) holders of pre-petition equity interests in the Debtor, including, without limitation, any shares of the Debtor’s preferred stock, common stock, and any option, warrant or right to acquire any ownership interest in the Debtor, will receive no distribution, and (v) all pre-petition equity interests in the Debtor will be canceled on the effective date of the Amended Plan.



Under the terms of the Amended Plan, the Pre-petition Secured Lender will provide exit financing to the Debtor by entering into a new loan agreement in the amount of $20 million with the reorganized Debtor on the effective date of the Amended Plan (the “New Loan”). The New Loan will have a 5-year term and simple accrued interest at the rate of 5% per annum, and will be secured by a first priority lien against all of the reorganized Debtor’s assets. Payment of the New Loan will be subordinated to payment of claims of a number of junior classes, including, without limitation, the general unsecured creditors. The proceeds from the New Loan will be used to pay claims under the Amended Plan and to fund the reorganized Debtor’s working capital and general corporate needs.

[paologorgo]

By this Motion, Valence seeks entry of an order: (a) shortening the notice period with respect to the objections to the Disclosure Statement; and (b) scheduling the Disclosure Statement for consideration at the hearing scheduled for September 18, 2013 at 10:00 a.m. (Central).
Valence proposes that any objections or other responses, if any, to the Disclosure Statement will be filed on or before September 11, 2013 at 5:00 p.m. (Central).

[paologorgo]

J. Retention of Investment Bankers and Pursuit of Exit Financing

Accordingly, in December 2012 the Debtor began interviewing investment bankers to help it find the needed exit financing. Officers of the Debtor requested proposals from approximately 10 investment banking firms, ultimately selecting and receiving Bankruptcy Court approval by Order dated February 15, 2013 to retain KPMG Corporate Finance, LLC (“KPMG”) and Roth Capital Partners, LLC (“Roth”) with a mandate to secure the needed exit financing for the Debtor.
Over the next four months, KPMG and Roth conducted an extensive marketing process canvassing a wide range of financial and strategic investors to provide exit financing for the Debtor. In this marketing process, KPMG and Roth reached out to over one hundred entities to find a suitor interested in financing the Debtor’s operations on a prospective basis. During that process, the Debtor contacted 32 financial and 74 strategic investors, sent management presentations to 13 entities, and conducted diligence reviews with five strategic investors. Although none of these strategic investors made a proposal for exit financing, two of them proposed an acquisition of the Debtor’s business. These acquisition proposals ranged from $25 million to an amount less than the amount required to pay in full the Berg & Berg Notes, the DIP Facility and the Administrative Expenses of the Chapter 11 Case.

[trunkmonk]

Its toast. The POS berg got what he set out for years ago. Its inthe lawyers hands. Can only hope his lies and deceit is caught.

[mrholty]

A123 had their own facility that supposedly cost $500M, Valence doesn't IIRC.

That said I never understood why JCI needed the facility of A123 as they have unused capacity in their plant that was a JV with Saft.

[finbar99]

Very very uphill battle at this point, but stranger things have happened.

[knulp]

POR out but not declared effective,still time and absolutely no certainty imho, hope for better offer

[espnrick]

Finbar, Are the common stock holders dead or is there still a chance if JCI would buy Valence.

[finbar99]

At this point you have to hope that Johnson Controls would be willing to top Berg's offer of 50 million that is contained within the plan. Hell, they went all the way up to $250 for A123. I would have thought they would have done it by now, but perhaps they've been stiffarmed, or perhaps they just aren't interested.

[finbar99]

Not purty

[paologorgo]

Just saw it: the POR is out

http://www.valence.com/sites/default/files/243_plan_of_reorganization_aug_21_2013.pdf

[paologorgo]

Wow.

0.00660 (-71.55%) on strong volume (1,810,001)

is the company bk?

[gladeshawk]

Volume has picked up significantly. Anyone hear anything? Sure would like to see another move UP to give us some hope. HAWK

[gladeshawk]

Saw a 100K trade go thru. Anyone have any news? HAWK

[espnrick]

Thanks finbar, great reply.I hope Berg will fish or cut bait! Just when you think you have a good company to invest in with Patents on great technology a heartless bastard like Berg steps in and does this. One way or the other we need this one year of BS over. I hope we at least get to stay in the game

[finbar99]

Espnrick,

I don't have premium membership - couldn't respond privately to your email. Where do I think this case is? I personally think Berg is trying to trying to capitalize on the obvious strategic interest that was present in the A123 case.....interesting courtroom notes on the battle royale between Wanxiang and JCI here https://www.facebook.com/notes/delaware-shareholder-services/aoneq-hearing-121112/495483290501917 . This case took a major detour right after that auction - so I personally believe what happened there has a lot to do with where this case goes - but it remains impossible to say exactly what will happen and whether JCI will step forward at the end of the day to pick up the Valence IP. Berg isn't going to sell it an any price - only at a price that is acceptable to him. We know there was an offer presented to the board last month - but the board wasn't allowed to vote it up or down as it was preconditioned on Berg's approval. The latest fee apps would appear to suggest that this offer came from 'George' - my guess is that he represents a patent litigation group - that's mostly based on repeated references to 'licensing' and 'waterfall structures'. Typically when a patent troll goes after IP, the structure of the deal is mostly back ended - Valence would get a % of any lawsuits they could successfully prosecute, hence the payout comes in the future and waterfall structures are incorporated into the plan such that creditors get paid with initial victories and shareholders get compensated, if ever, with later victories, if there are any. Fee apps indicate that the atty's spent considerable time negotiating with George, but Berg was never really on the same page. Is JCI driving a hard bargain as they initially did in the A123 case? Berg is a pretty sharp guy, I'd guess he is more focused on what they were willing to pay in the end vs what they offered up at first there. I think we get an answer one way or the other soon....like a month or two.

[trunkmonk]

sure would like to get it over with, what is taking so long, do your thing Berg, we all know what you are and how good you are at it. Its been a year this week, pitiful. the lawyers await.

[finbar99]

I'm not quite sure at this point to tell the truth. A simple offer wouldn't require Berg's consent, but according to the extension this was a caveat that the offeror attached - which suggests to me they were not interested at this time in working through the process if Berg was hostile to it, given his control on both the debt and equity side of the capital structure. It's not an auction here - there has never been a 363 motion - which makes this case highly different from most. Was this offer below the claims hurdle or simply below the $$$ amount that Berg is willing to sell at - given that they've never lined this up for auction, it has never been for offered at the best available price (in fact it's never really been offered for outright purchase period). Also not sure how this reconciles with the recent extension of the ROTH and KPMG engagements which were looking for an equity raise. Fee apps are due out soon - would be nice to have a look at what the lawyers have been billing for the last 3 months to get a picture of where this is heading.

[paologorgo]

Alex, I guess you can help us put these info into a larger picture.

A simple offer to buy the company would not require Berg 'consent': you act as a stalking horse in an auction of the company.

Berg's alternative proposal is tough to decipher in lack of further info.

How to take this piece of news?