Document:

EX-10.18

 Exhibit 10.18 

Valneva SE 
 (the
“Company”) 
 Free Share Plan 2019-2023 

Terms and Conditions 
  

	 	1.	 Background and purpose of the Program 

On June 27, 2019, the general meeting of Valneva SE’s shareholders decided under its 39th resolution to grant the Company’s Management Board
(“MB”) all powers necessary to decide the granting and issuance of free ordinary shares (“FS”) for the benefit of members of the MB or the Management Committee (“MC”). 

In accordance with the powers and authorizations granted by the shareholders’ meeting of June 27, 2019, the MB plans to grant FS to the members of
the MB and the MC (the “Participants”). The MB also plans to grant phantom shares to non-MC grade 15 and 14 employees, in accordance with separate terms and conditions. 

The purpose of the FS plan 2019-2023 (the “Program”) is to provide a long-term incentive program for the Company’s senior management.
The Program excludes the granting of new stock options to the Participants. 
  

	 	2.	 Purpose of these terms and conditions 

The terms and conditions set forth herein aim at summarizing and complementing the Program-related or Program-relevant provisions set out in the Company’s
articles of incorporation (the “Articles”), the resolutions adopted by the general meeting of the Company’s shareholders on June 27, 2019 as well as the decisions made or to be made by the MB regarding the granting of free
shares (collectively, the “Constitutional Documents”). In the event of any discrepancy between the Constitutional Documents and these terms and conditions, the Constitutional Documents will prevail. 

 

	 	3.	 FS granting 

 

	 	3.1	 Allocations 

A number of FS will be conditionally granted to each Participant as set forth below. 

CEO: 331,667 shares; 
 Each of the other MB members:
262,570 shares; 
 Each grade 15 MC member: 90,000 shares; 

The maximum number of FS that can be allotted by the MB cannot exceed 3% of the share capital of the Company as of the Grant Date (as defined in
Section 3.2 below) or any legal threshold applicable as of the Grant Date. 

	 	3.2	 Tranches 

Subject to the vesting conditions set forth below, the FS granted to a Participant will vest in and be delivered to that participant (“seront
définitivement attribuées”) in three tranches. 
 Each tranche will amount to one third of the total individual allocation. If one
third is not a whole number, the FS number will be rounded down for the first two tranches and rounded up for the third tranche. 
 The tranches will vest
in the Participants as follows: 
  

	 	•	 	 First tranche: two (2) years after the date of the MB decision that initially granted the FS (the
“Grant Date”); 

  

	 	•	 	 Second Tranche: three (3) years after the Grant Date; 

 

	 	•	 	 Third Tranche: four (4) years after the Grant Date. 

 

	 	3.3	 Performance conditions 

The vesting (“attribution définitive”) of each tranche will be subject to performance conditions as follows: 

MB members (including the CEO): 

The vesting of each tranche will be contingent upon the level of achievement of the member’s collective and individual goals in the
Relevant Year (as defined below), as assessed by the Supervisory Board, starting above 60% (60% = no vesting) and increasing in a linear way, so that 80% goal achievement will result in vesting of 50% of the relevant tranche and 100% goal
achievement will result in vesting of 100% of the relevant tranche, as set out in appendix 1 to these terms and conditions. If the number of vested shares calculated in accordance with the above and appendix 1 is not a whole number, it will be
rounded down. 
 Non-MB MC members: 

The vesting of each tranche will be contingent upon the MC member’s performance in the Relevant Year having been rated not lower than
“Meets Expectations” (regardless of any qualifying sign), as assessed by his/her supervisor under the Company’s employee performance appraisal rules. 

Common provisions: 

“Relevant Year” means 2021 for the first tranche, 2022 for the second tranche and 2023 for the third tranche. If a vesting period
expires before the performance has been assessed for the Relevant Year, the vesting of the relevant tranche will be postponed until all Participants have been assessed. 
  

	 	3.4	 Further vesting conditions 

Participants must continuously remain a MB member, corporate officer or employee (full time or not less than 80%) of the Company or a direct or
indirect subsidiary of the Company until vesting, subject to the retirement exception set forth below. If a MB member’s term of office is not renewed upon expiration in June 2022, the shares already vested will be kept, but the unvested shares
will be lost. 

	 	3.5	 Accelerated vesting after two years 

If (a) a Change of Control (as defined below) occurs not earlier than 2 years after the Grant Date and (b) the performance condition
stated above was met for the calendar year immediately preceding the year of Change of Control (or for the year of Change of Control if already assessed), all tranches will vest immediately. For MB members (including the CEO), if their performance
was less than 100%, the percentage determined in accordance with appendix 1 will apply to all tranches so vesting. 
 “Change of
Control” means that a person or entity other than the Company’s current shareholders has taken control of the Company, “control” having the meaning set forth in Article L 233-3 of the
French commercial code. 
  

	 	3.6	 No compulsory holding period 

Following FS vesting in accordance with these terms and conditions, no compulsory FS holding period will be applicable to the Participants.

  

	 	3.7	 Retirement: 

Participants who will retire in accordance with the age requirements of their applicable retirement regime before complete vesting will remain
entitled to a prorated amount of shares, for each unvested tranche, based on the period from the Grant Date until retirement, as compared to the total duration of the tranche in question (2, 3 or 4 years); provided, however, that the performance
condition stated above was met in the performance appraisal immediately preceding the retirement. For MB members (including the CEO), the level of performance will affect the amount of shares kept, in accordance with the rules set out in appendix 1.

 By way of example, a MB member (including the CEO) retiring 6 months after the Grant Date and having obtained an 80% goal achievement
rating for 2019 will remain entitled to: 
  

	 	•	 	 25% × 50% = 12.5% of tranche 1; 

 

	 	•	 	 16.66% × 50% = 8.33% of tranche 2; and 

 

	 	•	 	 12.5% × 50% = 6.25% of tranche 3. 

As a further example, a non-MB MC member retiring 3 years after the Grant Date and having obtained a
“Meets Expectations” rating in his/her last annual performance appraisal will remain entitled to 75% of tranche 3 (noting that tranches 1 and 2 will have already vested at that time). 

If the number of vested shares calculated in accordance with the above is not a whole number, it will be rounded down. 

	 	3.8	 Death 

In accordance with Article L 225-197-3 of the French commercial
code, heirs can request vesting within six months after the death of a Participant. Such vesting will be conditioned on the same performance condition as accelerated vesting in case of Change of Control (without regard to the minimum 2-year vesting period). 
  

	 	3.9	 Change of Control occurring less than 2 years after the Grant Date 

If a Change of Control takes place less than two years after the Grant Date, and section III of article L225-197-1 of the French commercial code does not apply, the Program will be canceled and the Company will indemnify the participants for the loss of unvested free shares granted under the canceled Program,
subject however to the above- mentioned performance conditions and, for MB members (including the CEO), all required shareholder approvals. The gross amount of this indemnity will be calculated as though such free shares had been vested upon the
Change of Control. The conditions and limitations set forth in the applicable Program rules will apply to this calculation, mutatis mutandis. Examples are given in appendix 2 attached to these minutes. 

 

	 	4.	 Additional provisions 

The granting of free shares to MB members (including the CEO) as set out above is subject to approval by the Company’s shareholders under the “Say on
Pay” rules in the June 2020 Annual General Meeting. If the shareholders do not approve, the granting of free shares to MB members (including the CEO) under the Program will be canceled. 

On November 21, 2019, the Supervisory Board decided that in accordance with Section II (4th paragraph) of Article L 225-197-1 of the French commercial code, each MB member (including the CEO) should keep not less than 20% of the vested FS of each tranche under this Program until termination of his office as MB member or
corporate officer. 

 Appendix 1 to Free Share Plan 2019-2023 terms and conditions* 

 

															
	 Goal

achievement
	 	 	 Tranche percentage

vested
	 	 	Goal achievement	 	 	 Tranche percentage

vested
	 
	 	60	% 	 	 	0	% 	 				 			
	 	61	% 	 	 	2.5	% 	 	 	101	% 	 	 	100.0	% 
	 	62	% 	 	 	5.0	% 	 	 	102	% 	 	 	100.0	% 
	 	63	% 	 	 	7.5	% 	 	 	103	% 	 	 	100.0	% 
	 	64	% 	 	 	10.0	% 	 	 	104	% 	 	 	100.0	% 
	 	65	% 	 	 	12.5	% 	 	 	105	% 	 	 	100.0	% 
	 	66	% 	 	 	15.0	% 	 	 	106	% 	 	 	100.0	% 
	 	67	% 	 	 	17.5	% 	 	 	107	% 	 	 	100.0	% 
	 	68	% 	 	 	20.0	% 	 	 	108	% 	 	 	100.0	% 
	 	69	% 	 	 	22.5	% 	 	 	109	% 	 	 	100.0	% 
	 	70	% 	 	 	25.0	% 	 	 	110	% 	 	 	100.0	% 
	 	71	% 	 	 	27.5	% 	 	 	111	% 	 	 	100.0	% 
	 	72	% 	 	 	30.0	% 	 	 	112	% 	 	 	100.0	% 
	 	73	% 	 	 	32.5	% 	 	 	113	% 	 	 	100.0	% 
	 	74	% 	 	 	35.0	% 	 	 	114	% 	 	 	100.0	% 
	 	75	% 	 	 	37.5	% 	 	 	115	% 	 	 	100.0	% 
	 	76	% 	 	 	40.0	% 	 	 	116	% 	 	 	100.0	% 
	 	77	% 	 	 	42.5	% 	 	 	117	% 	 	 	100.0	% 
	 	78	% 	 	 	45.0	% 	 	 	118	% 	 	 	100.0	% 
	 	79	% 	 	 	47.5	% 	 	 	119	% 	 	 	100.0	% 
	 	80	% 	 	 	50.0	% 	 	 	120	% 	 	 	100.0	% 
	 	81	% 	 	 	52.5	% 	 				 			
	 	82	% 	 	 	55.0	% 	 				 			
	 	83	% 	 	 	57.5	% 	 				 			
	 	84	% 	 	 	60.0	% 	 				 			
	 	85	% 	 	 	62.5	% 	 				 			
	 	86	% 	 	 	65.0	% 	 				 			
	 	87	% 	 	 	67.5	% 	 				 			
	 	88	% 	 	 	70.0	% 	 				 			
	 	89	% 	 	 	72.5	% 	 				 			
	 	90	% 	 	 	75.0	% 	 				 			
	 	91	% 	 	 	77.5	% 	 				 			
	 	92	% 	 	 	80.0	% 	 				 			
	 	93	% 	 	 	82.5	% 	 				 			
	 	94	% 	 	 	85.0	% 	 				 			
	 	95	% 	 	 	87.5	% 	 				 			
	 	96	% 	 	 	90.0	% 	 				 			
	 	97	% 	 	 	92.5	% 	 				 			
	 	98	% 	 	 	95.0	% 	 				 			
	 	99	% 	 	 	97.5	% 	 				 			
	 	100	% 	 	 	100.0	% 	 				 			

  

	•	 Only applicable to MB members 

 Appendix 2 to Free Share Plan 2019-2023 terms and conditions 

Examples of cash compensation in the event of an early Change of Control (before vesting of first tranche) 

Assuming a Change of Control in June 2021 and a share price of EUR 7.00 upon the Change of Control: 

 

	 	•	 	 A MB member (including the CEO) who was granted 262,570 free shares and obtained an 80% goal achievement rating
for 2020 will receive a gross indemnity (before all applicable deductions and subject to all required shareholder approvals) amounting to 262,570 × 50% × 7 = EUR 918,995 

 

	 	•	 	 A grade 15 MC member who was granted 90,000 free shares and obtained a Meets Expectations rating for 2020 will
receive a gross indemnity (before all applicable deductions) amounting to 90,000 × 7 = EUR 630,000EX-10.19

 Exhibit 10.19 

 
 

 
 VALNEVA SE 

Terms and conditions of Phantom Stock Option Plan 2017 

 

 1. Preliminary statements 

 

	1.1	 This Phantom Stock Option Plan 2017 (“PSOP 2017”) is a deferred cash bonus program aiming at
promoting the interests of the company “Valneva SE” (“Valneva” or “the Company”) by allowing Participants (as defined below) to benefit from a long-term incentive program that creates a financial result
similar to the Employee Stock Option Plans 2013, 2015, 2016 and 2017 (collectively, the “ESOP”). 

“Participant(s)” means employees of Valneva USA, Inc. and those employees of Valneva Austria GmbH who are subject to US
income tax, excluding any member of the Management Committee and any employee who participated in any of the ESOP. 
  

	1.2	 The granting of Phantom Options (as defined below) under this PSOP 2017 shall not give rise to a legal right
for the Participants to participate in a subsequent or similar plan. 

 2. Granting of Phantom Stock Options 

 

	2.1	 The Management Board or persons appointed by the Management Board for this purpose shall have sole competence
over the grant of phantom stock options (the “Phantom Options”) under this PSOP 2017. The Management Board or such persons shall further determine the number and category of Phantom Options granted to each Participant and the Strike
Price (as this term is defined in Section 3.9 below); this information will be provided on an individual basis, by means of a grant letter delivered to each Participant. There will be 4 categories of Phantom Options: PO 2013, PO 2015, PO 2016
and PO 2017. The allocation will depend on whether the Participants were employed by the Company or any of its direct and indirect subsidiaries (collectively, the “VLA Group”) on the working day immediately preceding the day when
each of the ESOP was launched and on whether the Participants have been continuously employed by the VLA Group since then. “Employment” means either having an employment agreement under which work is being done and remuneration is being
paid or having an employment agreement and being on maternity or paternity leave. 

  

	2.2	 The grant of Phantom Options to the Participants is free of charge. However, the cash payments resulting from
the program are subject to all applicable taxes and contributions (cf. Section 7 below). 

 3. Exercise of
Phantom Options 
 Conversion ratio 
  

	3.1	 Subject to all Terms and Conditions set forth herein, phantom shares may be created at the rate of
(1) Phantom Option to one (1) phantom share, except that for PO 2013 the rate shall be 1 Phantom Option to 1.099617653 phantom share. If the conversion ratio under any of the ESOP is modified, then the ratio applicable to the corresponding
category under this PSOP 2017 (e.g. PO 2016 for ESOP 2016) shall be adjusted accordingly. 

 Vesting of Phantom Options

  

	3.2	 Subject to the exercise periods set forth below, fifty percent (50%) of the Phantom Options allocated to the
Participants shall become exercisable on the later of (i) the date of the grant letter referred to in Section 2.1 and (ii) two years after the PO Reference Date (as defined below) and the remaining fifty percent (50%) shall become
exercisable on the later of (i) the date of the aforesaid grant letter and (ii) four years after the PO Reference Date. “PO Reference Date” shall mean October 2, 2013 for PO 2013, July 28, 2015 for PO 2015,
October 7, 2016 for PO 2016 and December 7, 2017 for PO 2017. 

 Exercise periods 

 

	3.3	 The Participants may exercise their Phantom Options and claim the corresponding cash payment only within
specific time periods provided for that purpose (the “Time Frame(s)”). Each Time Frame will be announced by the Management Board of Valneva. There will be up to two (2) Time Frames per calendar year, each of them lasting no
longer than two (2) weeks. 

	3.4	 The Company reserves the right to postpone, suspend or early terminate any Time Frame, in accordance with
applicable laws and regulations. 

  

	3.5	 Subject to the provisions of Section 4 below, any Phantom Option which was exercisable in a Time Frame (in
accordance with Section 3.2 above) but was not exercised during that Time Frame can be exercised by the relevant Participant during any of the following Time Frames. 

 

	3.6	 In the event of a Change of Control (as defined below), all outstanding Phantom Options shall become
exercisable, and a Time Frame shall immediately begin, at the time the Change of Control is effective (this process being herein referred to as the “Acceleration”). 

For the purpose of this Section 3.6, “Change of Control” means a transaction by which a single party, or two or more
parties acting in concert, take over more than fifty percent (50 %) of the outstanding voting rights of the Company (be it through an acquisition, merger or transfer of essentially all of the assets of the Company). 

Declaration of Exercise 
  

	3.7	 The Participants shall exercise their Phantom Options by sending a duly completed and signed form (the
“Exercise Notice”) to the Human Resources department (“HR”) in Vienna, Austria. This form may be sent as an original or electronically. 

 

	3.8	 The exercise of Phantom Options shall be deemed in time insofar as the Exercise Notice is received by HR at the
earliest on the first day of the relevant Time Frame, and no later than 6 p.m., Paris time, on the last day of such Time Frame. Any Exercise Notice received by HR outside this period will be void. In such a case, the relevant Participant may
exercise his/her Phantom Options during a subsequent Time Frame, if he/she so wishes (subject to the provisions of Section 4 below). 

Calculation of Bonus Payment 
  

	3.9	 The “Strike Price” shall be the amount to be deducted from the cash payment made under this
PSOP 2017 after exercise of Phantom Options. 

 The Strike Price under this PSOP 2017 shall be equal to EUR 2.919 per
phantom share resulting from PO 2013, EUR 3.92 per phantom share resulting from PO 2015, EUR 2.71 per phantom share resulting from PO 2016 and EUR 2.85 per phantom share resulting from PO 2017. If the “Strike Price” under any of the ESOP
is adjusted, then the Strike Price of the relevant category under this PSOP 2017 shall be adjusted accordingly. 
  

	3.10	 Following exercise of Phantom Options, each Participant shall be entitled to receive an amount equal to the
difference between the closing price of Valneva’s ordinary stock on the day the Exercise Notice was received (or on the immediately following trading day if the Paris Stock Exchange was closed on the day of receipt) and the Strike Price, less
all deductions, taxes and contributions applicable to bonus payments. By way of example, if the conversion ratio is 1:1, Valneva’s stock price is EUR 4.62 and the amount of Phantom Options exercised in the PO 2017 category is 10,000, then the
gross amount to be paid (before applicable deductions) shall be EUR 17,700. 

 Cash Payments 

 

	3.11	 Participants shall receive payments resulting from the exercise of Phantom Options together with the salary
owed for the calendar month immediately following the month during which the Exercise Notice was received. Where such payments are made in a currency other than the euro, the Company retains the right to select a currency exchange ratio consistent
with its internal accounting rules. 

 

  

			
	Page | 1	  	

 

 
  

 4. Validity period of Phantom Options - Lapse 

 

	4.1	 The Phantom Options of a given category (as defined in Section 2.1) may be exercised within a period
ending ten (10) years after the PO Reference Date. All Phantom Options not exercised by that time shall lapse without compensation. 

  

	4.2	 Upon termination of employment within the VLA Group, the Phantom Options of a leaving Participant shall lapse
without compensation.Notwithstanding the foregoing, a leaving Participant shall retain the right to exercise those Phantom Options which were exercisable prior to termination of employment, but only during the first Time Frame which will immediately
follow termination of employment, and on condition that the Company had already opened a Time Frame under this PSOP 2017 prior to termination of employment. 

  

	4.3	 In the event of a Participant’s death, all granted Phantom Options not exercisable prior to the date of
death shall lapse without compensation. However, any exercisable Phantom Options may be exercised pursuant to Section 5.2 below. 

  

	4.4	 In the event that insolvency proceedings are initiated with respect to the Company or the Company becomes
insolvent, all Phantom Options shall lapse without compensation. 

  

	4.5	 The Company may also cancel a Phantom Option if the legal form of the Company changes. If, and at the time
when, a transaction referred to in Section 3.6 or a change in the legal form of the Company occurs, any exercisable Phantom Option with a Strike Price higher than the then current Valneva stock price (or, in the event of Change of Control, than
the value per share paid in the take-over transaction) shall lapse without compensation. Any acquisition, merger or transfer of essentially all of the assets of the Company which does not lead to a Change of Control shall not trigger Acceleration,
but may give rise to replacement of Phantom Options by options in the successor company. 

  

	4.6	 In the event of expiration or lapse of Phantom Options, the Company shall not be required to inform the
relevant Participants or to take any other action, and the Participants shall have no right to any compensation. 

 5.
Unassignability of options 
  

	5.1	 The Phantom Options granted to the Participants under the PSOP 2017 shall not be transferable, negotiable or
eligible as collateral, except through transfer by death (i.e. disposition by will or law). 

  

	5.2	 The Phantom Options may only be exercised personally by the Participant during his/her lifetime or by his/her
legal representative. During the six (6)-month period immediately following the date of death of a Participant, only his/her heir or the legal representative of the heir, in each case as identified by corresponding documentation submitted to the
Company, may declare the exercise of all remaining exercisable Phantom Options. The Phantom Options shall be deemed immediately exercised if a Time Frame is opened at the time of the declaration. If there is no Time Frame opened at the time the
exercise is declared, the Phantom Options shall be deemed exercised during the first day of the Time Frame directly subsequent to the declaration. 

6. Shareholder’s rights 
  

	6.1	 Participants shall have no shareholder rights, and in particular no right to receive dividends.

  

	6.2	 If the Company proceeds with any of the financial transactions listed in article L. 228-99 of the French Commercial code, the rights of the Participants shall be protected in a way economically similar to the provisions of that article, which may result in a change in the conversion ratio or the
Strike Price. 

 7. Fees, taxes and duties 

 

	7.1	 Subject to Section 7.2, the Company shall bear all costs and expenses incurred in connection with the
preparation and implementation of this PSOP 2017. 

  

	7.2	 The Participants shall bear all deductions, taxes and contributions applicable to bonus payments.

 The Participants shall further bear all expenses for personal advice, in particular with respect to legal or tax
matters. 

 8. Miscellaneous 

 

	8.1	 This PSOP 2017 shall be governed by and construed in accordance with French law, without regard to its choice
of law principles. 

  

	8.2	 The Company shall have the right to terminate or amend this PSOP 2017 at any time, subject to all applicable
laws and regulations. 

 VALNEVA SE

 

  

			
	Page | 2	  	

 Exercise Notice 

for the exercising of phantom stock options 

in Valneva SE 
 I,
                                         
                            

hereby declare to exercise a number of 

                     phantom options at an exercise
price of € 2.92 (2013) 

                     phantom options at an exercise
price of € 3.92 (2015) 

                     phantom options at an exercise
price of € 2.71 (2016) 

                     phantom options at an exercise
price of € 2.85 (2017) 
 of the phantom stock options granted to me. 

I will pay the taxes and social security contributions (if any) via my payroll. 

I have accepted the terms and conditions for the way of payment via my payroll. 

Date of Signing: 
 Signature: 

Date of receipt from HR: 
 Signature of HR:

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