All that is known about the Valley Region is that before the events of Freedom Planet, it became home to the members of Team Lilac. After quitting the Red Scarves to live independently, Lilac & Carol built a Treehouse deep within the Region's Dragon Valley, resorting to thievery of the rich to survive. Milla has also been living alone in the Valley Region due to the absence of her Parents, relying on nothing but her Alchemy Powers, canine instincts and her imaginary playmate, Mr. Stumpy, to help her survive.
Lilac & Carol were first seen in the Valley Region, preparing for a raid during the annual pilgrimage to the Kingdom Stone. Suddenly, they witness a mysterious plane getting shot down by Choppers, and crash lands in Dragon Valley. Lilac, being of a good-hearted nature, races off to the crash site, where she finds the Pilot: a Shellduck named Torque, whom she saves from a robotic-armed Snake called Serpentine. Later on at the Treehouse, Torque tells Lilac & Carol that Mayor Zao has sent his troops to the Ancient Temple to steal the Kingdom Stone, so the Girls offer to head off to warn Shang Tu's forces that are stationed their.
Theft of the Kingdom Stone
Arriving at the Temple, Lilac & Carol are met by Gong, the General of Shang Tu's Army; and Neera Li, the Magister's Advisor and Chief of the STPD. They deny the Girls' warning about the theft plot, but are then distracted by sudden arrival of a Shang Mu Truck that breaks through the Temple; resulting in Lilac & Carol's resolve to save the Kingdom Stone themselves. Meanwhile, in another part of the Valley, Milla is playing with Mr. Stumpy, and making a "SUPER Feather Potion" to help find her missing Parents. Upon noticing Lilac chasing after the Shang Mu Truck, she decides to follow her with the desire to meet a Dragon. Within the Kingdom Stone Shrine, Lilac & Carol encounters their former friend and rival Spade, who manages to escape with the Kingdom Stone; leaving the Girls to face and defeat the Shrine's Guardian, the Mantalith. Following the fight, Lilac & Carol are separated from each other as they made good their escape from the collapsing cave, with Milla saving Carol from being buried alive. Upon reuniting outside the cave, Lilac & Carol make their way home until they notice Milla following them. After a brief misunderstanding (involving a pounce from Carol), Lilac befriends Milla and invites her to the Treehouse.
Later that night, Lilac, Carol & Milla discovers that Torque is not who he claims to be. He is in fact an Alien and a member of a group called the Spectrum Chasers, and is on a mission to stop Lord Brevon from stealing the Kingdom Stone to power his army and continue his galactic conquest. Learning of this, the newly formed Team Lilac volunteered to help Torque complete his mission and save Avalice from the brink of war. From the following morning to the evening, the Team travelled to a Ravine in a northern part of the Valley Region, where they meet with General Gong and accept the task of acting as a neutral party to negotiate with Mayor Zao for the Kingdom Stone. Following the negotiations, Zao provides the Team with one of his Airships, which they use to travel to Shuigang and negotiate with Prince Dail, who had stolen the Stone from Zao the following night. Passing over the Valley Region, Team Lilac comes under attack from the Sky Battalion. Despite beating back Spade and conquering Dail and his Kujacker, their Airship was damaged and forced to splash down in a river leading to Shang Tu.
The Valley Region wasn't seen or mentioned again until the end of the Game, where Torque was preparing a rocket to leave Avalice, and Team Lilac and General Gong were seeing him off. He thanks them on behalf of the Coalition of Planets for helping him defeat Brevon, earning himself a group hug from the Girls. After saying their good-byes, Torque hops into his rockets and blasts off, while the Girls and Gong goes up to the Treehouse's Balcony to get a better view of the launch. They look to the sky as Torque's Rocket leaves Avalice, holding onto the hope that he'll return one day.
Lilac, Carol & Milla continues to live in the Valley Region for the past 3 years. While Lilac & Carol continues to live in the Treehouse, a more independent Milla now lives in her own Chemistry Lab, where she practices her Alchemy Powers and makes Potions to help her friends on their adventures. Eventually, the Valley Region will come under attack from enemy robots, sparking the beginning of a new adventure for Team Lilac.