The Chile international will be looking to get his career back on track at the Primera Division side after he was deemed surplus to requirements in Naples.
Napoli has confirmed that Eduardo Vargas has joined Valencia on loan for the remainder of the 2013-14 season.
The attacker had only recently returned to the Stadio San Paolo after a loan spell at Brazilian side Gremio, but head coach Rafael Benitez told the 24-year-old he was not a part of his plans.
Vargas has therefore opted to move clubs again on a temporary basis in order to keep his chances of making Chile's World Cup squad alive.
"Napoli have formalized the transfer of Eduardo vargas to Valencia CF in the form of a loan until the end of the season," the Serie A side confirmed on its official Twitter account.
Vargas joined Napoli in an estimated 13 million euro deal from Universidad de Chile in Jan. 2012, but he has since been unable to establish himself with the Partenopei.
The forward has made 19 Serie A appearances so far, but has yet to find the net in the Italian top flight.