VLNC Valence Technology, Inc. (MM)

Valence Technology, Inc. (the "Company") announced that the Company's common stock began trading under the "VLNC" symbol on the OTCQB Marketplace following the cessation of trading on the NASDAQ Stock Market ("NASDAQ"). Operated by OTC Markets Group Inc., the OTCQB is a market tier for OTC traded companies that are registered and reporting with the Securities and Exchange Commission. The Company expects its common stock will continue to trade under the "VLNC" symbol on the computerized OTCQB system. Investors can obtain stock quotes for Valence Technology at www.otcmarkets.com.

The transition to the OTCQB Marketplace comes after the Company's stock was delisted from NASDAQ in connection with the Company's voluntary filing for chapter 11 business reorganization on July 12, 2012.

The Valence Technology, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=10210

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among other things, statements regarding expecting our common stock will continue to trade under the "VLNC" symbol on the OTCQB.  Our actual results could vary substantially from these forward-looking statements as a result of a variety of factors including: our ability to obtain the debtor in possession credit facility and the terms and amount of any such facility; the impact of the chapter 11 filing on our relationships with customers, vendors, employees and creditors; the outcome of the chapter 11 process including the court rulings and discussions with creditors; our ability to continue to file reports with the SEC which is a necessary condition for our stock to continue to trade on the OTCQB; and the outcome of any current or future litigation regarding intellectual property, creditors or other matters and general economic conditions. These and other risk factors that could affect our actual results are discussed in our periodic reports filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended March 31 and subsequent Quarterly Reports on Form 10-Q and other documents filed with the Securities Exchange Commission. The reader is directed to these statements for a further discussion of important factors that could cause our actual results to differ materially from those in our forward-looking statements.  We disclaim any intent or obligation to update these forward-looking statements.

CONTACT: Bob Gray
         Valence Technology, Inc.
         512.527.2921
         investor@valence.com