Document:

BSA Subscription Plans

 Exhibit 10.2 
 - SEQUANS COMMUNICATIONS - 
 Regulations 

 
  

Warrants (B.S.A. co-2005) Subscription Plan - 2006-1 

 - CONTENTS - 

 

	
	I - DEFINITION OF BSA co-2005 SUBSCRIPTION PLAN
	
	II - LEGAL FRAMEWORK FOR THE PLAN
	
	III - DESCRIPTION OF THE PLAN
	
	 •    Beneficiaries

	
	 •    Allotment and subscription of BSA co-2005

	
	 •    Features and period of validity of the BSA co-2005

	
	 •    Cessation of the Beneficiary’s contractual relationship with Sequans Communications or one of
its subsidiaries

	
	 •    Setting the subscription price for shares covered by the BSA co-2005

	
	 •    Maintaining the rights of Beneficiaries during the exercise period

	
	IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA co-2005
	
	 •    Suspension of the rights to exercise the BSA co-2005

	
	 •    Procedures and conditions for exercising the BSA co-2005

	
	V - FEATURES OF SHARES SUBSCRIBED
	
	 •    Delivery ad form of shares

	
	 •    Rights and availability of shares

  
 - 2/6 -

 I - DEFINITION OF BSA co-2005 SUBSCRIPTION PLAN 

In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications
wishes to set up a system enabling them to share in its growth. 
 This BSA co-2005 subscription plan is a mechanism by which Sequans
Communications offers its business partners the possibility of subscribing for warrants (hereafter referred to as “BSA co-2005”) at a set price; the exercise of each BSA co-2005 allows the subscription for a new A common share during a
certain period, at a price set on the date the BSA co-2005 are issued, and that remains fixed during the entire period. 
 In this way, the
beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA co-2005 to subscribe for shares. 

II - LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism is governed, in particular, by the provisions set forth under article L.228-95 of the French Commercial Code. 
 In a decision taken on 15 December 2005, an extraordinary general shareholders’ meeting voted in favour of the principle of issuing a total number of 50,000 BSA co-2005 maximum, at the price of
0.01 euro per BSA co-2005. Each Option gives the holder the right to subscribe for one new class A common share of the Company at the price set for shares issued in connection with the most recent increase in share capital prior to the actual issue
of said Option. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A common shares likely to be issued. 
 In addition, this decision granted the Board of Directors the power to issue these BSA co-2005, on one or more occasions, including the authority to determine the beneficiaries and the number of BSA
co-2005 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA co-2005 issued, to record the successive increases in share
capital as a result of the exercise of the BSA co-2005, and to carry out all formalities required as a result thereof. 
 Pursuant to this grant
of authority, and using a part of the authority granted to it, at a meeting held on 12 January 2005, the Board of Directors decided the procedures applicable to this BSA co-2005 (hereinafter “the Plan”), in compliance with the
principles decided by the aforementioned extraordinary general shareholders’ meeting and the statutory provisions cited hereinabove. 
 III - DESCRIPTION OF THE PLAN 
 III-1. Beneficiaries 

The list of the Plan’s beneficiaries (hereinafter “Beneficiaries”) shall be approved by the Company’s Board of Directors. 

  
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 Beneficiaries shall be selected among physical persons having effective contractual relationship – on
the basis of a services contract duly signed – with Sequans Communications at the date of the attribution of BSA co-2005. 
 III-2.
Subscription of BSA co-2005 
 The BSA co-2005 proposed to the Beneficiaries shall be subscribed at the price of 0.01 euro per BSA
co-2005, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off with a debt. 
 The number of BSA
co-2005 proposed to each Beneficiary shall be indicated in an individual notification letter sent to him/her by the Chairman; the subscription of such BSA co-2005 shall be done no later than 7 days from the receipt of the aforesaid letter, by
returning to the Company 
  

	 	•	 	 the BSA co-2005 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this PLAN and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Beneficiary has duly executed said copies. 

 Failure to comply with this major formality within the applicable period shall render the BSA co-2005 issued immediately and automatically void. 

Exercising a BSA co-2005 entitles the holder to subscribe for one new class A common share of Sequans Communications’ share capital at the
price of 0.60 euro. 
 This number of shares cannot be modified during the BSA co-2005’ period of validity, except in the event of an
adjustment in the subscription price in accordance with the requirements provided by law. 
 III-3. Features and period of validity of the
BSA co-2005 
 BSA co-2005 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors
and provided they are subscribed for by the Beneficiary. 
 BSA co-2005 must be exercised within the aforementioned maximum period of 10 years.
Furthermore, the Beneficiary must comply with the following schedule: 
 (i) first grant 

 

	 	•	 	 The Beneficiary may exercise his/her BSA co-2005 at the rate if 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications – or one of its subsidiaries
– has entered in force. 

 (i) further grant(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA co-2005 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the grant of such BSA co-2005. 

  
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 Any BSA co-2005 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 III-4. Cessation of the Beneficiary’s contractual relationship with Sequans Communications or one of its subsidiaries

 In the event of a termination, anticipated or not, of the Beneficiary’s services contract with Sequans Communications or one of
its subsidiaries, regardless of the reason: 
  

	 	•	 	 Said Beneficiary shall lose any and all rights with regard to BSA co-2005 that are not yet exercisable on the date of the aforesaid termination, in
accordance with the schedule for exercising the BSA co-2005 set out the notification letter referred to under article III-3 above. 

 However, the Beneficiary retains the right to exercise BSA co-2005 that are exercisable and that have not yet been exercised, provided that the Beneficiary exercises his/her BSA co-2005 within a period of
30 days following the aforesaid termination. 
 After the expiry of such period, the Beneficiary shall lose any and all rights
with regard to unexercised BSA co-2005 which shall be null and void. 
 III-5. Setting the subscription price for shares obtained by
exercising the BSA co-2005 
 A general shareholders’ meeting set the subscription price for shares to be issued pursuant to an
exercise of the BSA co-2005 at the price set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said Option. 
 Consequently, the subscription price for shares to be issued pursuant to exercising the Option is set in the amount of EUR 0.60 per share (of which EUR 0.59 is an issue premium), i.e., the issue
price for shares decided in connection with the increase in share capital voted by the extraordinary general shareholders’ meeting held on 14 February 2005. 
 This price may not be changed during the BSA co-2005’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

III-6. Maintaining the rights of Beneficiaries during the exercise period 
 During the entire period of validity, the Company shall be entitled to change its corporate form or company objects, create new preferred shares, redeem its share capital or amend the rules for the
allocation of profits. The Company shall, consequently, take the measure necessary to maintain the rights of the BSA co-2005 holders, in accordance with applicable laws and regulations. 

IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA CO-2005 
 IV-1. Suspension of the rights to exercise the BSA co-2005 
 If necessary, the Board
of Directors may suspend the right to exercise the BSA co-2005. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share capital requires knowing in advance the exact number of shares that make
up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 

  
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 In such case, Sequans Communications shall inform the Beneficiaries of the BSA co-2005, indicating the date
of the suspension and the date on which the right to exercise BSA co-2005 will be re-established. Such suspension may not exceed 3 months. 
 If
the right to exercise a BSA co-2005 expires during a period in which rights are suspended, the period for exercising the BSA co-2005 shall be extended by 3 months. 
 IV-2. Conditions for exercising BSA co-2005 
 All requests for exercising BSA
co-2005, documented by the signature of a subscription certificate specific to the Plan, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to the Company’s order in an amount corresponding to the number of
shares subscribed. 
 Shares subscribed must be, at the time of subscription, either fully paid up in cash or by way of a set-off with a debt.

 Failure to do so renders the subscription of shares null and void. 
 V - FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares

 Shares acquired by exercising BSA co-2005 are registered in the books of Sequans Communications as registered shares. 

V-2. Rights - Availability 
 The
new shares, A common shares, shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in share capital is completed. 

These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 

  
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 - SEQUANS COMMUNICATIONS - 

Regulations 
  

 
 (Warrants
(B.S.A.co-2005) Subscription Plan - 2006-2 

 - CONTENTS - 

 

	
	I - DEFINITION OF BSA co-2005 SUBSCRIPTION PLAN
	
	II - LEGAL FRAMEWORK FOR THE PLAN
	
	III - DESCRIPTION OF THE PLAN
	
	 •    Beneficiaries

	
	 •    Allotment and subscription of BSA co-2005

	
	 •    Features and period of validity of the BSA co-2005

	
	 •    Setting the subscription price for shares covered by the BSA co-2005

	
	 •    Maintaining the rights of Beneficiaries during the exercise period

	
	IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA co-2005
	
	 •    Suspension of the rights to exercise the BSA co-2005

	
	 •    Procedures and conditions for exercising the BSA co-2005

	
	V - FEATURES OF SHARES SUBSCRIBED
	
	 •    Delivery ad form of shares

	
	 •    Rights and availability of shares

  
 - 2/5 -

 I - DEFINITION OF BSA co-2005 SUBSCRIPTION PLAN 

In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications
wishes to set up a system enabling them to share in its growth. 
 This BSA co-2005 subscription plan is a mechanism by which Sequans
Communications offers its business partners the possibility of subscribing for warrants (hereafter referred to as “BSA co-2005”) at a set price; the exercise of each BSA co-2005 allows the subscription for a new A common share during a
certain period at a price set on the date the BSA co-2005 are issued and that remains fixed during the entire period. 
 In this way, the
beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA co-2005 to subscribe for shares. 

II - LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism is governed, in particular, by the provisions set forth under article L.228-95 of the French Commercial Code. 
 In a decision taken on 15 December 2005, an extraordinary general shareholders’ meeting voted in favour of the principle of issuing a total number of 50.000 BSA co-2005 maximum, at the price of
0.01 euro per BSA co-2005. Each Option gives the holder the right to subscribe for one new class A common share of the Company at the price set for shares issued in connection with the most recent increase in share capital prior to the actual issue
of said Option. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A common shares key to be issued. 
 In addition, this decision granted the Board of Directors the power to issue these BSA co-2005, on one or more occasions, including the authority to determine the beneficiaries and the number of BSA
co-2005 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA co-2005 issued to record the successive increases in share
capital as a result of the exercise of the BSA co-2005, and to carry out all formalities required as a result thereof. 
 Pursuant to this grant
of authority, and using a part of the authority granted to it, at a meeting held on 12 January 2005, the Board of Directors decided the procedures applicable to this BSA co-2005 (hereinafter “the Plan”), in compliance with the
principles decided by the aforementioned extraordinary general shareholders’ meeting and the statutory provisions cited hereinabove. 
 III - DESCRIPTION OF THE PLAN 
 III-1. Beneficiaries 

The list of the Plans beneficiaries (hereinafter “Beneficiaries”) shall be approved by the Company’s Board of Directors. 

  
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 Beneficiaries shall be selected among physical persons who have contributed, directly or indirectly, to the
business of Sequans Communications at the date of the attribution of BSA co-2005. 
 III-2. Subscription of BSA co-2005

 The BSA co-2005 proposed to the Beneficiaries shall be subscribed at the price of 0.01 euro per BSA co-2005, price which shall be paid
on subscription, either by mean of a payment in cash or by way of a set-off with a debt. 
 The number of BSA co-2005 proposed to each
Beneficiary shall be indicated in an individual notification letter sent to him/her by the Chairman; the subscription of such BSA co-2005 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company

  

	 	•	 	 the BSA co-2005 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this PLAN and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Beneficiary has duly executed said copies. 

Failure to comply with this major formality within the applicable period shall render the BSA co-2005 issued immediately and automatically void.

 Exercising a BSA co-2005 entitles the holder to subscribe for one new class A common share of Sequans Communications’ share capital at
the price of 0.60 euro. 
 This number of shares cannot be modified during the BSA co-2005’ period of validity, except in the event of an
adjustment in the subscription price in accordance with the requirements provided by law. 
 III-3. Features and period of validity of the
BSA co-2005 
 BSA co-2005 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors
and provided they are subscribed for by the Beneficiary. 
 BSA co-2005 shall be exercisable from the date of their subscription by the
Beneficiary. 
 Any BSA co-2005 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

III-4. Setting the subscription price for shares obtained by exercising the BSA co-2005 

A general shareholders’ meeting set the subscription price for shares to be issued pursuant to an exercise of the BSA co-2005 at the price set for
shares issued pursuant to the most recent increase in share capital prior to the actual issue of said Option. 
 Consequently, the subscription
price for shares to be issued pursuant to exercising the Option is set in the amount of EUR 0.60 per share (of which EUR 0.59 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share capital voted
by the extraordinary general shareholders’ meeting held on 14 February 2005. 
 This price may not be changed during the BSA
co-2005’ period of validity, except in the event of adjustments in accordance with the statutory and regulatory requirements. 

  
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 III-5 Maintaining the rights of Beneficiaries during the exercise period. 

During the entire period of validity, the Company shall be entitled to change its corporate form or company objects, create new preferred shares, redeem
its share capitol or amend the rules for the allocation of profits. The Company shall consequently take the measure necessary to match the rights of the BSA co-2005 holders in accordance with applicable laws and regulations. 

IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA CO 2005 
 IV-1. Suspension of the rights to exercise the BSA co-2005 
 If necessary, the Board
of Directors may suspend the right to exercise the BSA co-2005. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share capital requires knowing in advance the exact number of shares that make
up share capital or in the event that one of the finance transactions requiring and adjustment is carried out. 
 In such case, Sequans
Communications shall inform the Beneficiaries of the BSA co-2005, indicating the date of the suspension and the date on with the right to exercise BSA co-2005 will be re-establishment. Such suspension may not exceed 3 months. 

If the right to exercise a BSA co-2005 expires during a period in which rights are suspended, the period for exercising the BSA co-2005 shall be extended
by 3 months. 
 IV-2 Conditions for exercising BSA co-2005 
 All requests for exercising BSA co-2005, documented by the signature of a subscription certificate specific to the Plan, shall be sent to Sequans Communications, and must be accompanied by a cheque made
out to the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 
 V - FEATURES OF SHARES SUBSCRIBED 
 V-1 Delivery and form of shares 
 Shares acquired by exercising BSA co-2005 are
registered in the books of Sequans Communications as registered shares. 
 V-2 Rights - Availability 

The new shares, A common shares, shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to
shares of such class as from the date the increase in share capital is completed. 
 These shares shall be immediately transferable, in
compliance with the “CONTRACTUAL UNDERTAKING”. 

  
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 - SEQUANS COMMUNICATIONS - 

Terms and Conditions governing 
 the subscription and the exercize of B.S.A 2006-3 

 - CONTENTS - 

 

	
	I - DEFINITION OF BSA co-2006 SUBSCRIPTION PLAN
	
	II - LEGAL FRAMEWORK FOR THE PLAN
	
	III - DESCRIPTION OF THE PLAN
	
	 •    Beneficiary

	
	 •    Allotment and subscription of BSA co-2006

	
	 •    Features and period of validity of the BSA co-2006

	
	 •    Cessation of the Beneficiary’s contractual relationship with Sequans
Communications

	
	 •    Setting the subscription price for shares covered by the BSA co-2006

	
	 •    Maintaining the rights of Beneficiaries during the exercise period

	
	IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA co-2006
	
	 •    Suspension of the rights to exercise the BSA co-2006

	
	 •    Procedures and conditions for exercising the BSA co-2006

	
	V - FEATURES OF SHARES SUBSCRIBED
	
	 •    Delivery ad form of shares

	
	 •    Rights and availability of shares

  
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 I - DEFINITION OF BSA co-2006 SUBSCRIPTION PLAN 

This BSA co-2006 subscription plan is a mechanism by which Sequans Communications offers Mr. Zvi Slonimsky, Consultant, the possibility of
subscribing for warrants (hereafter referred to as “BSA co-2006”) at a set price ; the exercise of each BSA co-2006 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
co-2006 are issued, and that remains fixed during the entire period. 
 In this way, Mr. Zvi Slonimsky is invited to participate in the
company’s performance through the changes in share value, even before he becomes shareholders by exercising the BSA co-2006 to subscribe for shares. 
 II - LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism is governed, in particular, by the
provisions set forth under article L.228-95 of the French Commercial Code. 
 In a decision taken on 17 October 2006, an extraordinary
general shareholders’ meeting voted in favour of the principle of issuing a total number of 450,000 BSA co-2006 maximum, at the price of 0.01 euro per BSA co-2006. Each Option gives the holder the right to subscribe for one new class A
preferred share of the Company at the price set for shares issued in connection with the most recent increase in share capital prior to the actual issue of said Option. This decision entails the suppression of the shareholders’ pre-emptive
subscription rights with respect to the A preferred shares likely to be issued. 
 In addition, this decision granted the Board of Directors the
power to issue these BSA co-2006, on one or more occasions, including the authority to determine the beneficiaries and the number of BSA co-2006 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to
increase share capital by a maximum amount equal to the total number of BSA co-2005 issued, to record the successive increases in share capital as a result of the exercise of the BSA co-2006, and to carry out all formalities required as a result
thereof. 
 Pursuant to this grant of authority, and using a part of the authority granted to it, at a meeting held on
                     2006, the Board of Directors decided the procedures applicable to this BSA co-2006 (hereinafter “the Plan”), in
compliance with the principles decided by the aforementioned extraordinary general shareholders’ meeting and the statutory provisions cited hereinabove. 
 III - DESCRIPTION OF THE PLAN 
 III-1. Beneficiary 

Mr. Zvi Slonimsky is the sole beneficiary (the “Beneficiary”) of this Plan and has been approved by the Company’s Board of Directors.

  
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 III-2. Allotment and subscription of BSA co-2006 

The 450.000 BSA co-2006 proposed to the Beneficiary shall be subscribed at the price of 0.01 euro per BSA co-2006, price which shall be paid on
subscription, either by mean of a payment in cash or by way of a set-off with a debt. 
 Such offer to subscribe shall be notified by letter,
such letter including two copies of (i) the present Plan, (ii) the “CONTRACTUAL UNDERTAKING”, and (iii) the BSA co-2006 subscription form. 

The subscription of such BSA co-2006 shall be done no later than 7 days from the receipt of the notification letter including its by returning to
the Company 
  

	 	•	 	 the BSA co-2006 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Plan and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter and duly executed by the Beneficiary. 

Failure to comply with this major formality within the applicable period shall render the BSA co-2006 issued immediately and automatically void.

 Exercising a BSA co-2006 entitles the holder to subscribe for one new class A preferred share of Sequans Communications’
share capital at the price of 1.215 euro. 
 This number of shares cannot be modified during the BSA co-2006’ period of validity, except in
the event of an adjustment in the subscription price in accordance with the requirements provided by law. 
 III-3. Features and period of
validity of the BSA co-2006 
 BSA co-2006 are granted for a period of 10 years provided they are subscribed for by the Beneficiary. BSA
co-2006 must be exercised within the aforementioned maximum period of 10 years. 
 The Beneficiary may only exercise
his/her BSA co-2006 at the rate of 1/48th per month
for the period between the 1st and the 48th month following the date the services contract signed with Sequans
Communications has entered in force. 
 Any BSA co-2006 that is not exercised before the expiry of the aforementioned 10-year period shall be
null and void. 
 III-4. Cessation of the Beneficiary’s contractual relationship with Sequans Communications or one of its
subsidiaries 
 In the event of a termination, anticipated or not, of the Beneficiary’s services contract with Sequans
Communications, for any cause whatsoever: 
  

	 	•	 	 Said Beneficiary shall lose any and all rights with regard to BSA co-2006 that are not yet exercisable on the date of the aforesaid termination, in
accordance with the schedule for exercising the BSA co-2006 set out under article III-3 above. 

 However, the
Beneficiary retains the right to exercise BSA co-2006 that are exercisable and that have not yet been exercised, provided that the Beneficiary exercises his/her BSA co-2006 within a period of six (6) months following the aforesaid termination.

  
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 After the expiry of such period, the Beneficiary shall lose any and all rights with regard
to unexercised BSA co-2006 which shall be null and void. 
 Notwithstanding the above and in the event of termination caused by
the death of the Beneficiary, his heirs or beneficiaries shall have a period of twelve (12) months to exercise the BSA co-2006 that are exercisable on the date of termination. After the expiry of this 12 month-period hereinabove, said heirs or
beneficiaries shall lose all rights with regard to unexercised BSA co-2006. 
 However and should a change of control (as defined under article
L.233-3 of the French “Code de Commerce”) affect Sequans Communications, all BSA co-2006 subscribed by the Beneficiary and not yet exercisable would nevertheless become exercisable from the effective date of such change of control,
notwithstanding the schedule set out under section III-3 above, allowing said Beneficiary to exercise any and all remaining BSA co-2006, provided that such exercise occurs within a period of 30 days following the aforesaid change of control.

 III-5. Setting the subscription price for shares obtained by exercising the BSA co-2006 

The extraordinary shareholders’ meeting set the subscription price for shares to be issued pursuant to an exercise of the BSA co-2006 at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA co-2006. 
 Consequently, the
subscription price for shares to be issued pursuant to exercising the BSA co-2006 is set in the amount of EUR 1.215 per share (of which EUR 1.205 is an issue premium), i.e., the issue price for shares decided in connection with the
increase in share capital voted by the extraordinary general shareholders’ meeting held on 17 November 2006. 
 This price may not be
changed during the BSA co-2006’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 
 III- 6. Maintaining the rights of Beneficiaries during the exercise period 
 During
the entire period of validity, the Company shall be entitled, without the consent of the Beneficiary, to change its corporate form or company objects, create new preferred shares, redeem its share capital or amend the rules for the allocation of
profits. The Company shall, consequently, take the measure necessary to maintain the rights of the BSA co-2006 holder, in accordance with applicable laws an regulations. 
 IV - REQUIREMENTS AND PROCEDURES FOR EXERCISING BSA CO-2006 
 IV-1. Suspension of the
rights to exercise the BSA co-2006 
 If necessary, the Board of Directors may suspend the right to exercise the BSA co-2006. In
particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial
transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiary of the BSA co-2006,
indicating the date of the suspension and the date on which the right to exercise BSA co-2006 will be re-established. Such suspension may not exceed 3 months. 

  
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 If the right to exercise a BSA co-2006 expires during a period in which rights are suspended, the period for
exercising the BSA co-2006 shall be extended by 3 months. 
 IV-2. Conditions for exercising BSA co-2006 

All requests for exercising BSA co-2006, documented by the signature of a subscription certificate specific to the Plan, shall be sent to Sequans
Communications, and must be accompanied by a cheque made out to the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of subscription, either fully paid up in cash or by way of a setoff with a debt. 
 Failure to do so renders the subscription of shares null and void. 
 V -
FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 Shares acquired by exercising BSA co-2006 are registered in the books of Sequans Communications as registered shares. 
 V-2. Rights - Availability 
 The new shares, A preferred shares, shall be subject to
all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in share capital is completed. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL UNDERTAKING”. 

 

							
	Agreed and Accepted by Mr. Zvi Slonimsky	 		 	  
	 	
				
	Date	 		 	  
	 	

  
 - 6/6 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 431 246.44 Euros 
 Slège social : 19, La Parvis de La Défense - Citicenter - 92800 PUTEAUX 
 RCS Nantorre B 450 249 677 
 BSA co-2007 (Warrants) Issuance Agreement 2007-1

  
  

Dated                      

 

	(1)	SEQUANS COMMUNICATIONS 

  

	(2)	THE HOLDERS OF BSA CO-2007 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2007
			
		  	Article 1.	  	Holders of BSA CO-2007
		  	Article 2.	  	Allotment and subscription of BSA CO-2007
		  	Article 3.	  	Features and period of validity of BSA CO-2007 - Conditions of exercise
		  	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		  	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2007
		
	Title 2.	  	RIGHT OF EXERCIZE - SUSPENSION - FORMALITIES - SHARES SUBSCRIBED
			
		  	Article 6.	  	Suspension of the rights to exercise the BSA CO-2007
		  	Article 7.	  	Conditions of exercise of BSA CO-2007
		  	Article 8.	  	Delivery and form of shares
		  	Article 9.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS - PROTECTION - AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 10.	  	Representation of Holders
		  	Article 11.	  	Protection of Holders - Rights of the Company
		  	Article 12.	  	Binding effect - Amendment of the issuance agreement - Term - Jurisdiction

 WHEREAS 
 In order to reword its business partners (consultants, advisers.) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in its
growth. 
 This BSA co-2007 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA co-2007”) at a set price; the exercise of each BSA co-2007 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
co-2007 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA co-2007 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 25 May 2007, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
100.000 BSA co-2007 maximum, at the price of 0.01 Euro per BSA co-2007. Each BSA co-2007 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most recent
increase in share capital prior to the actual issue of said BSA co-2007. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue these BSA co-2007, on one or more occasions, including the authority to
determine the holders and the number of BSA co-2007 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA co-2007 issued, to
record the successive increases in share capital as a result of the exercise of the BSA co-2007, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 12 July 2007, the terms and conditions governing BSA co-2007 as set forth in the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2007 

 

	Article 1.	Holders of BSA co-2007 

 The
Holder is a physical person having effective contractual relationship - on the basis of a services contract duly signed - with Sequans Communications at the date a proposal of subscription of BSA co-2007 is made pursuant to the Issuance Agreement

 Haiders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA co-2007. 

 The BSA co-2007 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA co-2007, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA co-2007 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman ; the subscription of such BSA co-2007 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA ca-2007 subscription farm duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD - EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2007 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA co-2007 - Conditions of exercise 

 BSA co-2007 are granted far a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA co-2007 must be exercised within the aforementioned maximum period of 10 years , furthermore, the Holder must comply with the following schedule:

 (i) first allotment 
  

	 	•	 	 The Holder may exercise his/her BSA co-2007 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications - or one of its subsidiaries - has
entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA co-2007 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA co-2007. 

The first exercise must cover 25% of the BSA co-2007 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA co-2007 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the
price of 1,215 Euro - Issuance premium of 1.205 euros included - price set pursuant to the conditions decided by the Shareholders meeting and reminded under article 5 hereafter. 
 This number of shares cannot be modified during the BSA co-2007’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by
law. 
 Any BSA co-2007 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

 

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of Its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA co-2007 not yet exercisable an the date of the aforesaid termination, in accordance with the schedule for exercising the BSA co-2007 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA co-2007 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA co-2007 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA co-2007 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA co-2007. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA co-2007. 
 However and should a change of control
(as defined under article L.233-3 of the French “Code de Commerce”) affect Sequans Communications, all BSA co-2007 subscribed by the Holder and not yet exercisable would nevertheless become exercisable from the effective date of
such change of control, notwithstanding the schedule set out under article 3 above, allowing said Holder to exercise any and all remaining BSA co-2007, provided that such exercise occurs within a period of 30 days following the aforesaid change of
control. 

  
 - 5/8 -

	Article 5.	Setting of the subscription price for shares covered by the BSA co-2007 

 The general shareholders’ meeting held on 25 May 2007 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA co-2007 shall be set at the price set for
shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA co-2007. 
 This subscription price is
set in the amount of EUR 1.215 per share (of which EUR 1.205 is an issue premium), i.e. the issue price for shares decided in connection with the increase in share capital voted by the board of directors, on 1st December 2007, pursuant to
a delegation of power granted by the combined general shareholders’ meeting held on 17 November 2006. 
 This price may not be changed
during the BSA co-2007’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 
 Title 2. RIGHT OF EXERCIZE - SUSPENSION - FORMALITIES - SHARES SUBSCRIBED 
  

	Article 6.	Suspension of the rights to exercise BSA co-2007 

 If necessary, the Board of Directors may suspend the right to exercise the BSA co-2007. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA co-2007, indicating the date of the suspension and the date on which the right to exercise BSA co-2007 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA co-2007 expires during a period in which rights are
suspended, the period for exercising the BSA co-2007 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA co-2007 

 All requests for exercising BSA co-2007, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 

  
 - 6/8 -

	Article 8.	Delivery and form of shares 

Shares acquired by exercising BSAco-2007 are registered in the books of Sequans Communications as registered shares. 

 

	Article 9.	Rights and availability of shares 

 The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in
shore capital is completed. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS - PROTECTION - AMENDMENT OF THE
ISSUANCE AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Cade, the Holders of BSA co-2007 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders - Rights of the Company 

  

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA co-2007, the Company will have the option of changing Its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA co-2007, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  

	11.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  
 - 7/8 -

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Cade. 

 

	Article 12.	Binding effect- Amendment of the issuance agreement - Term - Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA co-2007. 

 

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA co-2007 and ends on the first of the following dates: (a) the expiry
date of the BSA co-2007, (b) the date on which all the BSA co-2007 have been exercised or waived. In addition, it will cease to be binding on each BSA co-2007 Holder on the date on which such holder ceases to hold any BSA co-2007.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
co-2007 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

Executed in two (2) copies 
  

					
	SEQUANS COMMUNICATIONS	 		 	  

			
	M.                             
           	 		 	  

			
	(the “Holder””)	 		 	
	
	(The Holder shall initialize each page, sign the last page and write down: “read and approved”)

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 431 246.44 Euros 
 Slège social : 19, La Parvis de La Défense – Citicenter – 92800 PUTEAUX 
 RCS Nanterre B 450 249 677 
 BSA CO-2007 (Warrants) Issuance Agreement 2007-2

  
  

Dated                      

 

	(1)	SEQUANS COMMUNICATIONS 

  

	(2)	THE HOLDERS OF BSA CO-2007 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	Title 1.	 	SUBSCRIPTION AND FEATURES OF BSA CO-2007
			
		 	Article 1.	  	Holders of BSA CO-2007
		 	Article 2.	  	Allotment and subscription of BSA CO-2007
		 	Article 3.	  	Features and period of validity of BSA CO-2007 - Conditions of exercise
		 	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2007
		
	Title 2.	 	RIGHT OF EXERCIZE - SUSPENSION - FORMALITIES - SHARES SUBSCRIBED
			
		 	Article 5.	  	Suspension of the rights to exercise the BSA CO-2007
		 	Article 6.	  	Conditions of exercise of BSA CO-2007
		 	Article 7.	  	Delivery and form of shares
		 	Article 8.	  	Rights and availability of shares
		
	Title 3.	 	REPRESENTATION OF HOLDERS - PROTECTION - AMENDMENT OF THE ISSUANCE AGREEMENT
			
		 	Article 9.	  	Representation of Holders
		 	Article 10.	  	Protection of Holders - Rights of the Company
		 	Article 11.	  	Binding effect - Amendment of the issuance agreement - Term - Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA co-2007 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA co-2007”) at a set price: the exercise of each BSA co-2007 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
co-2007 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA co-2007 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 25 May 2007, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
100.000 BSA co-2007 maximum, at the price of 0.01 Euro per BSA co-2007. Each BSA co-2007 gives the holder the right to subscribe for one new class A preferred shore of the Company at the price set for shares issued in connection with the most
recent increase in share capital prior to the actual issue of said BSA co-2007. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue these BSA co-2007, on one or more occasions, including the authority to
determine the holders and the number of BSA co-2007 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA co-2007 issued, to
record the successive increases in share capital as a result of the exercise of the BSA co-2007, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 12 July 2007, the terms and conditions governing BSA co-2007 as set forth in the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2007 

 

	Article 1.	Holders of BSA co-2007 

 The Holder
is a physical person having contributed, directly or indirectly, to the activity of the Company at the date a proposal of subscription of BSA co-2007 is made pursuant to the Issuance Agreement 

Holders are approved by the Company’s Board of Directors. 
  

	Article 2.	Allotment and subscription of BSA co-2007. 

 The BSA co-2007 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA co-2007, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA co-2007 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA co-2007 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA co-2007 subscription form duly signed. 

  

	 	•	 	 as well as (i) a copy of this issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD - EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2007 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA co-2007 - Conditions of exercise 

 BSA co-2007 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors and provided they are subscribed for by the Holder. 

BSA co-2007 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA co-2007 subscribed by the Holder. 
 Exercising a BSA
co-2007 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the price of 1.215 Euro - Issuance premium of 1,205 euros included - price set pursuant to the conditions decided by
the Shareholders meeting and reminded under article 4 hereafter. 
 This number of shares cannot be modified during the BSA co-2007’ period
of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law. 

  
 - 4/7 -

 Any BSA co-2007 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA
co-2007. After the expiry of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA co-2007. 
  

	Article 4.	Setting of the subscription price for shares covered by the BSA co-2007 

 The general shareholders’ meeting held on 25 May 2007 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA co-2007 shall be set at the price set for
shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA co-2007. 
 This subscription price is
set in the amount of EUR 1.215 per share (of which EUR 1.205 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share capital voted by the board of directors, on 1st December 2007, pursuant to
a delegation of power granted by the combined general shareholders’ meeting held an 17 November 2006. 
 This price may not be changed
during the BSA co-2007’ period of validity, except in the event of adjustments In accordance with statutory and regulatory requirements. 
 Title 2. RIGHT OF EXERCIZE - SUSPENSION - FORMALITIES - SHARES SUBSCRIBED 
  

	Article 5.	Suspension of the rights to exercise BSA co-2007 

 If necessary, the Board of Directors may suspend the right to exercise the BSA ca-2007. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA co-2007, indicating the date of the suspension and the date an which the right to exercise BSA co-2007 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA co-2007 expires during a period in which rights are
suspended, the period for exercising the BSA co-2007 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA co-2007 

 All requests for exercising BSA co-2007, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 

  
 - 5/7 -

 Shares subscribed must be, at the time of subscription, either fully paid up in cash or by way of a set-off
with a debt. 
 Failure to do so renders the subscription of shares null and void. 

 

	Article 7.	Delivery and form of shares 

Shares acquired by exercising BSAco-2007 are registered In the books of Sequans Communications as registered shares. 

 

	Article 8.	Rights and availability of shares 

The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to
shares of such class as from the date the increase in share capital is completed. 
 These shares shall be immediately transferable, in
compliance with the “CONTRACTUAL UNDERTAKING”. 
 Title 3.
REPRESENTATION OF HOLDERS - PROTECTION - AMENDMENT OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA ca-2007 are grouped into a body with legal personality
protecting their joint interests (the “masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders - Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	During the entire period of validity of the BSA co-2007, the Company will have the option of changing its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA co-2007, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  
 - 6/7 -

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect - Amendment of the issuance agreement - Term - Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA co-2007. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA co-2007 and ends on the first of the following dates: (a) the expiry
date of the BSA co-2007, (b) the date on which all the BSA co-2007 have been exercised or waived. In addition, it will cease to be binding on each BSA co-2007 Holder on the date on which such holder ceases to hold any BSA co-2007.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
co-2007 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

Executed in two (2) copies 
  

					
	SEQUANS COMMUNICATIONS	 		 	  

			
	M.                             
           	 		 	  

			
	(the “Holder””)	 		 	
	
	(The Holder shall initialize each page, sign the last page and write down: “read and approved”)

  
 - 7/7 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 458.544.17 Euros 
 Slège social : 19, Le Parvis de La Défense – Citicenter – 92800 PUTEAUX 
 RCS Nanterre B 450 249 677 
 BSA co-2008 (Warrants) Issuance Agreement 2008-1

  
  

Dated                      

 

	(1)	SEQUANS COMMUNICATIONS 

  

	(2)	THE HOLDERS OF BSA CO-2008 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	Title 1.	 	SUBSCRIPTION AND FEATURES OF BSA CO-2008
			
		 	Article 1.	  	Holders of BSA CO-2008
		 	Article 2.	  	Allotment and subscription of BSA CO-2008
		 	Article 3.	  	Features and period of validity of BSA CO-2008 - Conditions of exercise
		 	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		 	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2008
		
	Title 2.	 	RIGHT OF EXERCIZE - SUSPENSION - FORMALITIES - SHARES SUBSCRIBED
			
		 	Article 6.	  	Suspension of the rights to exercise the BSA CO-2008
		 	Article 7.	  	Conditions of exercise of BSA CO-2008
		 	Article 8.	  	Delivery and form of shares
		 	Article 9.	  	Rights and availability of shares
		
	Title 3.	 	REPRESENTATION OF HOLDERS - PROTECTION - AMENDMENT OF THE ISSUANCE AGREEMENT
			
		 	Article 10.	  	Representation of Holders
		 	Article 11.	  	Protection of Holders - Rights of the Company
		 	Article 12.	  	Binding effect - Amendment of the issuance agreement - Term - Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers.) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in its
growth. 
 This BSA CO-2008 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2008”) at a set price; the exercise of each BSA CO-2008 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2008 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA CO-2008 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 12 June 2008, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
50.000 BSA CO-2008 maximum, at the price of 0.01 Euro per BSA CO-2008. Each BSA CO-2008 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most
recent increase in share capital prior to the actual issue of said BSA CO-2008. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue these BSA CO- 2008, on one or more occasions, including the authority to
determine the holders and the number of BSA CO-2008 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2008 issued, to
record the successive increases in share capital as a result of the exercise of the BSA CO-2008, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 9 July 2008, the terms and conditions governing BSA CO-2008 as set forth in the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2008 

 

	Article 1.	Holders of BSA CO-2008 

 The Holder
is a physical person having effective contractual relationship - on the basis of a services contract duly signed - with Sequans Communications at the date a proposal of subscription of BSA CO-2008 is made pursuant to the Issuance Agreement

 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2008. 

 The BSA CO-2008 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2008, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2008 proposed to each Holder shall be indicated in an Individual Notification letter sent to him/her by the
Chairman; the subscription of such BSA CO-2008 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2008 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING” , both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD - EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2008 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2008 - Conditions of exercise 

 BSA CO-2008 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2008 must be exercised within the aforementioned maximum period of 10 years; furthermore, the Holder must comply with the following
schedule: 
 (i) first allotment 
  

	 	•	 	 The Holder may exercise his/her BSA CO-2008 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications - or one of its subsidiaries - has
entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA CO-2008 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA CO-2008. 

The first exercise must cover 25% of the BSA CO-2008 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA CO-2008 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the
price of Euro 2.024 - issuance premium of Euro 2.014 included - price set pursuant to the conditions decided by the Shareholders meeting and reminded under article 5 hereafter. 
 This number of shares cannot be modified during the BSA CO-2008’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by
law. 
 Any BSA CO-2008 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

 

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA CO-2008 not yet exercisable on the date of the aforesaid termination, in accordance with the schedule for exercising the BSA CO-2008 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA CO-2008 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA CO-2008 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA CO-2008 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA CO-2008. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2008. 
 However and should a change of control
(as defined under article L.233-3 of the French “Code de Commerce”) affect Sequans Communications, all BSA CO-2008 subscribed by the Holder and not yet exercisable would nevertheless become exercisable from the effective date of
such change of control, notwithstanding the schedule set out under article 3 above, allowing said Holder to exercise any and all remaining BSA CO-2008, provided that such exercise occurs within a period of 30 days following the aforesaid change of
control. 

  
 - 5/8 -

	Article 5.	Setting of the subscription price for shares covered by the BSA CO-2008 

 The combined general shareholders’ meeting held on 12 June 2008 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2008 shall be set at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2008. 
 This subscription
price – with respect to this BSA 2008-1 Issuance Agreement - is set in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share
capital voted by the combined general shareholders’ meeting held on 31 January 2008. 
 This price may not be changed during the BSA
CO-2008’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 6.	Suspension of the rights to exercise BSA CO-2008 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2008. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2008, indicating the date of the suspension and the date on which the right to exercise BSA CO- 2008 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2008 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2008 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA CO-2008 

 All requests for exercising BSA CO-2008, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 

  
 - 6/8 -

	Article 8.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2008 are registered in the books of Sequans Communications as registered shares. 

 

	Article 9.	Rights and availability of shares 

The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to
shares of such class as from the date the increase in share capital is completed. 
 These shares shall be immediately transferable, in
compliance with the “CONTRACTUAL UNDERTAKING”. 
 Title 3.
REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2008 are grouped into a body with legal personality
protecting their joint interests (the “masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders – Rights of the Company 

 

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA CO-2008 , the Company will have the option of changing its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA CO-2008, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  

	11.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  
 - 7/8 -

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 12.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2008. 

 

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2008 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2008, (b) the date on which all the BSA CO-2008 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2008 Holder on the date on which such holder ceases to hold any BSA CO-2008.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO- 2008 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

							
	 SEQUANS COMMUNICATIONS
	 		  	  

				
	 M.
	 	  
	 		  	  

			
	 (the “Holder”)
	 		  	

 (The Holder shall initialize each page, sign the last page and write down: “read and
approved”) 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 458.544.17 Euros 
 Siège social : 19, Le Parvis de La Défense – Citicenter – 92800 PUTEAUX 
 RCS Nanterre B 450 249 677 
 BSA CO-2008 (Warrants) Issuance Agreement 2008-2

  
  

Dated                      

 (1) SEQUANS COMMUNICATIONS 

(2) THE HOLDERS OF BSA CO-2008 

 Summary 
  

					
	PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT
		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2008
			
		  	Article 1.	  	Holders of BSA CO-2008
		  	Article 2.	  	Allotment and subscription of BSA CO-2008
		  	Article 3.	  	Features and period of validity of BSA CO-2008 – Conditions of exercise
		  	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2008
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 5.	  	Suspension of the rights to exercise the BSA CO-2008
		  	Article 6.	  	Conditions of exercise of BSA CO-2008
		  	Article 7.	  	Delivery and form of shares
		  	Article 8.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 9.	  	Representation of Holders
		  	Article 10.	  	Protection of Holders – Rights of the Company
		  	Article 11.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2008 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2008”) at a set price; the exercise of each BSA CO-2008 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2008 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA CO-2008 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 12 June 2008, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
50.000 BSA CO-2008 maximum, at the price of Euro 0.01 per BSA CO-2008. Each BSA CO-2008 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the
most recent increase in share capital prior to the actual issue of said BSA CO-2008. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued.

 In addition, this decision granted the Board of Directors the power to issue these BSA CO-2008, on one or more occasions, including the
authority to determine the holders and the number of BSA CO-2008 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA
CO-2008 issued, to record the successive increases in share capital as a result of the exercise of the BSA CO-2008, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 9 July 2008, the terms and conditions governing BSA CO-2008 as set forth in the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2008 

 

	Article 1.	Holders of BSA CO-2008 

 The Holder
is a physical person having contributed, directly or indirectly, to the activity of the Company at the date a proposal of subscription of BSA CO-2008 is made pursuant to the Issuance Agreement 

Holders are approved by the Company’s Board of Directors. 
  

	Article 2.	Allotment and subscription of BSA CO-2008. 

 The BSA CO-2008 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2008, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2008 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2008 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2008 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2008 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2008 – Conditions of exercise 

 BSA CO-2008 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors and subject to their subscription by the Holder. 

BSA CO-2008 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA CO-2008 subscribed by the Holder. 
 Exercising a BSA
CO-2008 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the price of Euro 2.024 - issuance premium of Euro 2.014 included -, price set pursuant to the conditions
decided by the Shareholders meeting and reminded under article 4 hereafter. 
 This number of shares cannot be modified during the BSA
CO-2008’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law. 

  
 - 4/7 -

 Any BSA CO-2008 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA
CO-2008. After the expiry of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2008. 
  

	Article 4.	Settling of the subscription price for shares covered by the BSA CO-2008 

 The combined general shareholders’ meeting held on 12 June 2008 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2008 shall be set at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2008. 
 This subscription
price is set - with respect to this BSA 2008-2 Issuance Agreement - in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share capital
voted by the combined general shareholders’ meeting held on 31 January 2008. 
 This price may not be changed during the BSA
CO-2008’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 5.	Suspension of the rights to exercise BSA CO-2008 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2008. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2008, indicating the date of the suspension and the date on which the right to exercise BSA CO-2008 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2008 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2008 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA CO-2008 

 All requests for exercising BSA CO-2008, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 

  
 - 5/7 -

 Shares subscribed must be, at the time of subscription, either fully paid up in cash or by way of a set-off
with a debt. 
 Failure to do so renders the subscription of shares null and void. 

 

	Article 7.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2008 are registered in the books of Sequans Communications as registered shares. 

 

	Article 8.	Rights and availability of shares 

The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to
shares of such class as from the date the increase in share capital is completed. 
 These shares shall be immediately transferable, in
compliance with the “CONTRACTUAL UNDERTAKING”. 
 Title 3.
REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2008 are grouped into a body with legal personality
protecting their joint interests (the “masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders – Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	During the entire period of validity of the BSA CO-2008, the Company will have the option of changing its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA CO-2008, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  
 - 6/7 -

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2008. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2008 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2008, (b) the date on which all the BSA CO-2008 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2008 Holder on the date on which such holder ceases to hold any BSA CO-2008.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO- 2008 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

							
	 SEQUANS COMMUNICATIONS
	 		  	  

				
	 M.
	 	  
	 		  	  

			
	 (the “Holder”)
	 		  	

 (The Holder shall initialize each page, sign the last page and write down the mention “read
and approved”) 

  
 - 7/7 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capitol de 463.588.45 Euros 
 Siège social : 19, Le Parvis de La Defense - 92800 PUTEAUX 
 RCS Nanterre B
450 249 677 
 BSA CO-2009 (Warrants) Issuance Agreement 2009-1 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2009 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2009
			
		  	Article 1.	  	Holders of BSA CO-2009
		  	Article 2.	  	Allotment and subscription of BSA CO-2009
		  	Article 3.	  	Features and period of validity of BSA CO-2009 – Conditions of exercise
		  	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2009
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 5.	  	Suspension of the rights to exercise the BSA CO-2009
		  	Article 6.	  	Conditions of exercise of BSA CO-2009
		  	Article 7.	  	Delivery and form of shares
		  	Article 8.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 9.	  	Representation of Holders
		  	Article 10.	  	Protection of Holders – Rights of the Company
		  	Article 11.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2009 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2009”) at a set price; the exercise of each BSA CO-2009 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2009 are Issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in shore value, even before they become shareholders by exercising the BSA CO-2009 to subscribe for shares. 

This mechanism is governed. In particular, by the provisions set forth under article L228-91 of the French Commercial Code. 

In a decision taken on 12 June 2009, a combined general shareholders’ meeting voted In favour of the principle of issuing a total number of
100,000 BSA CO-2009 maximum, at the price of Euro 0.01 per BSA CO-2009. Each BSA CO-2009 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most
recent increase in share capital prior to the actual issue of said BSA CO-2009. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue these BSA CO-2009, on one or more occasions, Including the authority to
determine the holders and the number of BSA CO-2009 to be Issued and the exercise conditions, furthermore, the Board of Directors was granted the power to Increase share capital by a maximum amount equal to the total number of BSA CO-2009 issued, to
record the successive increases in share capital as a result of the exercise of the BSA CO-2009, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 15 July 2009, the terms and conditions governing BSA CO-2009 as set forth In the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2009 

 

	Article 1.	Holders of BSA CO-2009 

 The Holder
is a physical person having contributed, directly or indirectly, to the activity of the Company at the date a proposal of subscription of BSA CO-2009 is made pursuant to the Issuance Agreement 

Holders are approved by the Company’s Board of Directors. 
  

	Article 2.	Allotment and subscription of BSA CO-2009. 

 The BSA CO-2009 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2009, price which shall be paid an subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2009 proposed to each Holder shall be indicated in an individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2009 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2009 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2009 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2009 – Conditions of exercise 

 BSA CO-2009 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors and subject to their subscription by the Holder. 

BSA CO-2009 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA CO-2009 subscribed by the Holder. 
 Exercising a BSA
CO-2009 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the price of Euro 2.024 – issuance premium of Euro 2.014 included -, price set pursuant to the conditions
decided by the Shareholders meeting and reminded under article 4 hereafter. 
 This number of shares cannot be modified during the BSA
CO-2009’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law. 

  
 - 4/7 -

 Any BSA CO-2009 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA
CO-2009. After the expiry of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2009. 
  

	Article 4.	Setting of the subscription price for shares covered by the BSA CO-2009 

 The combined general shareholders’ meeting held on 12 June 2009, decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2009 shall be set at the
price set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2009. 
 This
subscription price is set - with respect to this BSA 2009-1 Issuance Agreement - in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in
share capital voted by the combined general shareholders’ meeting held on 10 July 2008. 
 This price may not be changed during
the BSA CO-2009’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 
 Title 2. RIGHT OF EXERCISE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 
  

	Article 5.	Suspension of the rights to exercise BSA CO-2009 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2009. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2009, indicating the date of the suspension and the date on which the right to exercise BSA CO-2009 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2009 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2009 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA CO-2009 

 All requests for exercising BSA CO-2009, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque mode out to
the Company’s order in an amount corresponding to the number of shares subscribed. 

  
 - 5/7 -

 Shares subscribed must be, at the time of subscription, either fully paid up in cash or by way of a set-off
with a debt. 
 Failure to do so renders the subscription of shares null and void. 

 

	Article 7.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2009 are registered in the books of Sequans Communications as registered shares. 

 

	Article 8.	Rights and availability of shares 

 The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in
share capital is completed. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT
OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2009 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders – Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	During the entire period of validity of the BSA CO-2009, the Company will have the option of changing its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA CO-2009, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  
 - 6/7 -

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations. In particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2009. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2009 and ends on the first of the following dates; (a) the expiry
date of the BSA CO-2009, (b) the date on which all the BSA CO-2009 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2009 Holder on the date on which such holder ceases to hold any BSA CO-2009.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO-2009 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	

 (The Holder shall initialize each page, sign the last page and write down the mention “read
and approved”) 

  
 - 7/7 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 463.588.45 Euros 
 Siège social : 19, Le Parvis de La Defense - 92800 PUTEAUX 
 RCS Nanterre B
450 249 677 
 BSA CO-2009 (Warrants) Issuance Agreement 2009-2 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2009 

 Summary 

 

					
	PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT
		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2009
			
		  	Article 1.	  	Holders of BSA CO-2009
		  	Article 2.	  	Allotment and subscription of BSA CO-2009
		  	Article 3.	  	Features and period of validity of BSA CO-2009 – Conditions of exercise
		  	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		  	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2009
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 6.	  	Suspension of the rights to exercise the BSA CO-2009
		  	Article 7.	  	Conditions of exercise of BSA CO-2009
		  	Article 8.	  	Delivery and form of shares
		  	Article 9.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 10.	  	Representation of Holders
		  	Article 11.	  	Protection of Holders – Rights of the Company
		  	Article 12.	  	Binding effect – Amendment of the issuance agreement - Term Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2009 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2009”) at a set price; the exercise of each BSA CO-2009 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2009 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA CO-2009 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 12 June 2009, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
100.000 BSA CO-2009 maximum, at the price of 0.01 Euro per BSA CO-2009. Each BSA CO-2009 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most recent
increase in share capital prior to the actual issue of said BSA CO-2009. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue these BSA CO-2009, on one or more occasions, including the authority to
determine the holders and the number of BSA CO-2009 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2009 issued, to
record the successive increases in share capital as a result of the exercise of the BSA CO-2009, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on 15 July 2009, the terms and conditions governing BSA CO-2009 as set forth in the present
issuance agreement (hereafter the “Issuance Agreement”). 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2009 

 

	Article 1.	Holders of BSA CO-2009 

 The
Holder is a physical person having effective contractual relationship - on the basis of a services contract duly signed - with Sequans Communications at the date a proposal of subscription of BSA CO-2009 is made pursuant to the Issuance Agreement

 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2009. 

 The BSA CO-2009 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2009, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2009 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2009 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2009 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING” , both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD - EXCEPT IN THE EVENT OF FORCE MAJEURE - SHALL RENDER
THE BSA CO-2009 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2009 – Conditions of exercise 

 BSA CO-2009 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2009 must be exercised within the aforementioned maximum period of 10 years; furthermore, the Holder must comply with the following schedule:

 (i) first allotment 
  

	 	•	 	 The Holder may exercise his/her BSA CO-2009 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications – or one of its subsidiaries -
has entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA CO-2009 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA CO-2009. 

The first exercise must cover 25% of the BSA CO-2009 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA CO-2009 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the
price of Euro 2.024 - issuance premium of Euro 2.014 included - price set pursuant to the conditions decided by the Shareholders meeting and reminded under article 5 hereafter. 
 This number of shares cannot be modified during the BSA CO-2009’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by
law. 
 Any BSA CO-2009 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA CO-2009. After the expiry
of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2009. 
  

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA CO-2009 not yet exercisable on the date of the aforesaid termination, in accordance with the schedule for exercising the BSA CO-2009 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA CO-2009 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA CO-2009 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA CO-2009 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA CO-2009. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2009. 
 However and should a change of control
(as defined under article L.233-3 of the French “Code de Commerce”) affect Sequans Communications, all BSA CO-2009 subscribed by the Holder and not yet exercisable would nevertheless become exercisable from the effective

  
 - 5/8 -

 
date of such change of control, notwithstanding the schedule set out under article 3 above, allowing said Holder to exercise any and all remaining BSA CO-2009, provided that such exercise occurs
within a period of 30 days following the aforesaid change of control. 
  

	Article 5.	Setting of the subscription price for shares covered by the BSA CO-2009 

 The combined general shareholders’ meeting held on 12 June 2009 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2009 shall be set at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2009. 
 This subscription
price – with respect to this BSA 2009-2 Issuance Agreement - is set in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share capital
voted by the combined general shareholders’ meeting held on 10 July 2009. 
 This price may not be changed during the BSA
CO-2009’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCISE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 6.	Suspension of the rights to exercise BSA CO-2009 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2009. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2009, indicating the date of the suspension and the date on which the right to exercise BSA CO-2009 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2009 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2009 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA CO-2009 

 All requests for exercising BSA CO-2009, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 

  
 - 6/8 -

 Failure to do so renders the subscription of shares null and void. 

 

	Article 8.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2009 are registered in the books of Sequans Communications as registered shares. 

 

	Article 9.	Rights and availability of shares 

 The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in
share capital is completed. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT
OF THE ISSUANCE AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2009 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders – Rights of the Company 

  

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA CO-2009, the Company will have the option of changing its form or object, creating preferred shares, writing down its
capital or changing the rules for distributing profits, without obtaining prior authorisation from the Holders of BSA CO-2009, provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance
with applicable legal and/or regulatory provisions. 

  

	11.3	 Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the
representative of the body of Holders, the Board of directors will be empowered to take any measure 

  
 - 7/8 -

	 	 
relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French Commercial Code.

  

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 12.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2009. 

 

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2009 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2009, (b) the date on which all the BSA CO-2009 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2009 Holder on the date on which such holder ceases to hold any BSA CO-2009.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO-2009 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

							
	SEQUANS COMMUNICATIONS	 		  	  
	 	
				
	M.                             
                                         
  	 		  	  
	 	
				
	(the “Holder”)	 		  		 	

 (The Holder shall initialize each page, sign the last page and write down: “read and
approved”)  

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 475.712.78 Euros 
 Siège social : 19, Le Parvis de La Defense – 92800 PUTEAUX 
 RCS
Nanterre B 450 249 677 
 BSA CO-2010 (Warrants) Issuance Agreement 2010-1 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2010 

 Summary 

 

					
	 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT

		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2010
			
		  	Article 1.	  	Holders of BSA CO-2010
		  	Article 2.	  	Allotment and subscription of BSA CO-2010
		  	Article 3.	  	Features and period of validity of BSA CO-2010 – Conditions of exercise
		  	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		  	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2010
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 6.	  	Suspension of the rights to exercise the BSA CO-2010
		  	Article 7.	  	Conditions of exercise of BSA CO-2010
		  	Article 8.	  	Delivery and form of shares
		  	Article 9.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 10.	  	Representation of Holders
		  	Article 11.	  	Protection of Holders – Rights of the Company
		  	Article 12.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2010 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2010”) at a set price; the exercise of each BSA CO-2010 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2010 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA CO-2010 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 30 June 2010, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
100.000 BSA CO-2010 maximum, at the price of 0.01 Euro per BSA CO-2010. Each BSA CO-2010 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most
recent increase in share capital prior to the actual issue of said BSA CO-2010. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 

In addition, this decision granted the Board of Directors the power to issue such BSA CO-2010, on one or more occasions, including the authority to
determine the holders and the number of BSA CO-2010 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2010 issued, to
record the successive increases in share capital as a result of the exercise of the BSA CO-2010, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on [21] July 2010, the terms and conditions of this issuance agreement (hereafter the “Issuance
Agreement”) governing BSA CO-2010 to be issued with a vesting period. 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2010 

 

	Article 1.	Holders of BSA CO-2010 

 The Holder
is a physical person having effective contractual relationship – on the basis of a services contract duly signed - with Sequans Communications at the date a proposal of subscription of BSA CO-2010 is made pursuant to the Issuance Agreement

 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2010. 

 The BSA CO-2010 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2010, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2010 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2010 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2010 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING” , both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE – SHALL RENDER
THE BSA CO-2010 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2010 – Conditions of exercise 

 BSA CO-2010 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2010 must be exercised within the aforementioned maximum period of 10 years; furthermore, the Holder must comply with the following schedule:

 (i) first allotment 
  

	 	•	 	 The Holder may exercise his/her BSA CO-2010 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications – or one of its subsidiaries -
has entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA CO-2010 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA CO-2010. 

The first exercise must cover 25% of the BSA CO-2010 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA CO-2010 entitles the Holder to subscribe for one new class A prefered share of Sequans Communications’ share capital at the
price of Euro 2.024 – issuance premium of Euro 2.014 included - price set pursuant to the conditions decided by the Shareholders meeting and reminded under article 5 hereafter. 
 This number of shares cannot be modified during the BSA CO-2010’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by
law. 
 Any BSA CO-2010 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

 

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA CO-2010 not yet exercisable on the date of the aforesaid termination, in accordance with the schedule for exercising the BSA CO-2010 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA CO-2010 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA CO-2010 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA CO-2010 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA CO-2010. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2010. 
 However and should a change of control
(as defined under article L.233-3 of the French “Code de Commerce”) affect Sequans Communications, all BSA CO-2010 subscribed by the Holder and not yet exercisable would nevertheless become exercisable from the effective date of
such change of control, notwithstanding the schedule set out under article 3 above, allowing said Holder to exercise any and all remaining BSA CO-2010, provided that such exercise occurs within a period of 30 days following the aforesaid change of
control. 

  
 - 5/8 -

	Article 5.	Setting of the subscription price for shares covered by the BSA CO-2010 

 The combined general shareholders’ meeting held on 30 June 2010 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2010 shall be set at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2010. 
 This subscription
price – with respect to this BSA 2008-1 Issuance Agreement - is set in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share
capital voted by the combined general shareholders’ meeting held on 16 July 2010. 
 This price may not be changed during the BSA
CO-2010’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 6.	Suspension of the rights to exercise BSA CO-2010 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2010. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2010, indicating the date of the suspension and the date on which the right to exercise BSA CO-2010 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2010 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2010 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA CO-2010 

 All requests for exercising BSA CO-2010, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 

  
 - 6/8 -

	Article 8.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2010 are registered in the books of Sequans Communications as registered shares. 

 

	Article 9.	Rights and availability of shares 

 The new A preferred shares shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to shares of such class as from the date the increase in share capital is completed.

 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT
OF THE ISSUANCE AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2010 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the masse will be
governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders – Rights of the Company 

  

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA CO-2010, the Company will have the option of changing its form or object, without obtaining prior authorisation from the
Holders of BSA CO-2010. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be
delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory
provisions. 

  
 - 7/8 -

	11.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 12.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2010. 

 

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2010 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2010, (b) the date on which all the BSA CO-2010 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2010 Holder on the date on which such holder ceases to hold any BSA CO-2010.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO-2010 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	

 (The Holder shall initialize each page, sign the last page and write dawn: “read and
approved”) 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 475.712.78 Euros 
 Siège social : 19, Le Parvis de La Defense – 92800 PUTEAUX 
 RCS
Nanterre B 450 249 677 
 BSA CO-2010 (Warrants) Issuance Agreement 2010-2 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2010 

 Summary 

 

					
	PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT
		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2010
			
		  	Article 1.	  	Holders of BSA CO-2010
		  	Article 2.	  	Allotment and subscription of BSA CO-2010
		  	Article 3.	  	Features and period of validity of BSA CO-2010 – Conditions of exercise
		  	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2010
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 5.	  	Suspension of the rights to exercise the BSA CO-2010
		  	Article 6.	  	Conditions of exercise of BSA CO-2010
		  	Article 7.	  	Delivery and form of shares
		  	Article 8.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS - PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 9.	  	Representation of Holders
		  	Article 10.	  	Protection of Holders – Rights of the Company
		  	Article 11.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2010 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2010”) at a set price; the exercise of each BSA CO-2010 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2010 are issued, and that remains fixed during the entire period. 
 In this way, the beneficiaries participate in their company’s
performance through the changes in share value, even before they become shareholders by exercising the BSA CO-2010 to subscribe for shares. 

This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 

In a decision taken on 30 June 2010, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of
100.000 BSA CO-2010 maximum, at the price of Euro 0.01 per BSA CO-2010. Each BSA CO-2010 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the
most recent increase in share capital prior to the actual issue of said BSA CO-2010. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued.

 In addition, this decision granted the Board of Directors the power to issue such BSA CO-2010, on one or more occasions, including the
authority to determine the holders and the number of BSA CO-2010 to be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA
CO-2010 issued, to record the successive increases in share capital as a result of the exercise of the BSA CO-2010, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid delegation of power, the Board of Directors has defined, at a meeting held on [21] July 2010, the terms and conditions of this issuance agreement (hereafter the “Issuance
Agreement”) governing BSA CO-2010 to be issued without vesting period. 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2010 

 

	Article 1.	Holders of BSA CO-2010 

 The Holder
is a physical person having contributed, directly or indirectly, to the activity of the Company at the date a proposal of subscription of BSA CO-2010 is made pursuant to the Issuance Agreement 

Holders are approved by the Company’s Board of Directors. 
  

	Article 2.	Allotment and subscription of BSA CO-2010 

 The BSA CO-2010 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2010, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2010 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2010 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	•	 	 the BSA CO-2010 subscription form duly signed, 

  

	 	•	 	 as well as (i) a copy of this Issuance Agreement and (ii) a copy of the “CONTRACTUAL
UNDERTAKING”, both attached to said letter, after the Holder has duly executed said copies. 

 FAILURE TO COMPLY WITH THIS MAJOR FORMALITY WITHIN THE
APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE – SHALL RENDER
THE BSA CO-2010 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 
  

	Article 3.	Features and period of validity of BSA CO-2010 – Conditions of exercise 

 BSA CO-2010 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors and subject to their subscription by the Holder. 

BSA CO-2010 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA CO-2010 subscribed by the Holder. 
 Exercising a BSA
CO-2010 entitles the Holder to subscribe for one new class A preferred share of Sequans Communications’ share capital at the price of Euro 2.024 – issuance premium of Euro 2.014 included -, price set pursuant to the conditions
decided by the Shareholders meeting and reminded under article 4 hereafter. 
 This number of shares cannot be modified during the BSA
CO-2010’ period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law. 

  
 - 4/7 -

 Any BSA CO-2010 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA
CO-2010. After the expiry of this 6 month-period hereinabove, said heirs or beneficiaries shall lase all rights with regard to unexercised BSA CO-2010. 
  

	Article 4.	Setting of the subscription price for shares covered by the BSA CO-2010 

 The combined general shareholders’ meeting held on 30 June 2010 decided that the subscription price for shares to be issued pursuant to an exercise of the BSA CO-2010 shall be set at the price
set for shares issued pursuant to the most recent increase in share capital prior to the actual issue of said BSA CO-2010. 
 This subscription
price is set - with respect to this BSA 2008-2 Issuance Agreement - in the amount of EUR 2.024 per share (of which EUR 2.014 is an issue premium), i.e., the issue price for shares decided in connection with the increase in share capital
voted by the combined general shareholders’ meeting held on 16 July 2010. 
 This price may not be changed during the BSA
CO-2010’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 5.	Suspension of the rights to exercise BSA CO-2010 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2010. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2010, indicating the date of the suspension and the date on which the right to exercise BSA CO-2010 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2010 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2010 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA CO-2010 

 All requests for exercising BSA CO-2010, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 

  
 - 5/7 -

 Subscribed shares must be, at the time of subscription, either fully paid up in cash or by way of a set-off
with a debt. 
 Failure to do so renders the subscription of shares null and void. 

 

	Article 7.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2010 are registered in the books of Sequans Communications as registered shares. 

 

	Article 8.	Rights and availability of shares 

 The new A preferred shares shall be subject to all provisions of the memorandum and articles of association and shall enjoy all rights pertaining to shares of such class as from the date the increase in
share capital is completed. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT
OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2010 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 
 The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the masse will be governed by applicable legal and
regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders – Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	During the entire period of validity of the BSA CO-2010, the Company will have the option of changing its form or object, without obtaining prior authorisation from the
Holders of BSA CO-2010. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be
delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the 

  
 - 6/7 -

	 	 
Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory provisions. 

 

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2010. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2010 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2010, (b) the date on which all the BSA CO-2010 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2010 Holder on the date on which such holder ceases to hold any BSA CO-2010.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO- 2010 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	

 (The Holder shall initialize each page, sign the last page and write down the mention “read
and approved”) 

  
 - 7/7 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 534.373.54 Euros 
 Siège social : 19, Le Parvis de La Defense – 92800 PUTEAUX 
 RCS
Nanterre B 450 249 477 
 BSA CO-2010 (Warrants) Issuance Agreement 2010-1-2 

 
  

(11 January 2011) 

Dated                        
       
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2010 

 Summary 

 

					
	PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT
		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2010
			
		  	Article 1.	  	Holders of BSA CO-2010
		  	Article 2.	  	Allotment and subscription of BSA CO-2010
		  	Article 3.	  	Features and period of validity of BSA CO-2010 – Conditions of exercise
		  	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		  	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2010
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 6.	  	Suspension of the rights to exercise the BSA CO-2010
		  	Article 7.	  	Conditions of exercise of BSA CO-2010
		  	Article 8.	  	Delivery and form of shares
		  	Article 9.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS - PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 10.	  	Representation of Holders
		  	Article 11.	  	Protection of Holders – Rights of the Company
		  	Article 12.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2010 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2010”) at a set price: the exercise of each BSA CO-2010 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2010 are issued, and that remains fixed during the entire period. In this way, the beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA
CO-2010 to subscribe for shares. This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 
 In a decision taken on 30 June 2010, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of 100.000 BSA CO-2010 maximum, at the price of
0.01 Euro per BSA CO-2010. Each BSA CO-2010 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most recent increase in share capital prior to the
actual issue of said BSA CO-2010. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 
 In addition, this decision granted the Board of Directors the power to issue such BSA CO-2010, on one or more occasions, including the authority to determine the holders and the number of BSA CO-2010 to
be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2010 issued, to record the successive increases in share capital as a
result of the exercise of the BSA CO-2010, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid
delegation of power, the Board of Directors has defined, at a meeting held on 21 July 2010, the terms and conditions of an issuance agreement (hereafter the “2010-1 Issuance Agreement”) governing BSA CO-2010 to be issued with a
vesting period. 
 By virtue of a decision taken on 11 January 2011, a combined general shareholders’ meeting has amended the
conditions of setting of the subscription price for the class A preferred share (or an ordinary share should the Company be listed on financial markets) to be issued pursuant to exercising an Option, and decided that this price would be set at the
fair market value as applicable at the date of allocation of the Option, value to be set and approved by the Board of Directors of the Company. 

Therefore and pursuant to the aforesaid grant of authority, at a meeting held on 11 January 2011, the Board of Directors decided the procedures
applicable to this stock and established the present 2010-1-2 Issuance Agreement which is a declination of the 2010-1 Issuance Agreement and which include the new conditions of setting of the subscription price for the share to be issued pursuant to
exercising an Option. 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2010 

 

	Article 1.	Holders of BSA CO-2010 

 The
Holder is a physical person having effective contractual relationship – on the basis of a services contract duly signed - with Sequans Communications of the date a proposal of subscription of BSA CO-2010 is made pursuant to the Issuance
Agreement 
 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2010. 

 The BSA CO-2010 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2010, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2010 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2010 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	(i)	a copy of this Issuance Agreement, 

  

	 	(ii)	a copy of the Individual Letter of Notification, and 

  

	 	(iii)	a copy of the “CONTRACTUAL UNDERTAKING” attached to said letter 

being specified that all such copies shall be duly executed by the Beneficiary who acknowledges that the Individual Letter of Notification and the
“CONTRACTUAL UNDERTAKING” are part of these Issuance Agreement. 

FAILURE TO COMPLY WITH THIS MAJOR FORMALITY
WITHIN THE APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE -
SHALL RENDER THE BSA CO-2010 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 

 

	Article 3.	Features and period of validity of BSA CO-2010 – Conditions of exercise 

 BSA CO-2010 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2010 must be exercised within the aforementioned maximum period of 10 years; furthermore, the Holder must comply with the following schedule:

 (i) first allotment 
  

	 	•	 	 The Haider may exercise his/her BSA CO-2010 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications – or one of its subsidiaries
– has entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA CO-2010 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA CO-2010. 

The first exercise must cover 25% of the BSA CO-2010 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA entitles the Holder to subscribe for one new class A preferred share (or one ordinary share should Sequans Communications be
listed on a financial market) of Sequans Communications’ share capital at the applicable price as defined under article 5 hereafter. 

This number of shares cannot be modified during the BSA CO-2010’ period of validity, except in the event of an adjustment in the subscription price
in accordance with the requirements provided by law. 
 Any BSA CO-2010 that is not exercised before the expiry of the aforementioned 10-year
period shall be null and void. 
  

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA CO-2010 not yet exercisable on the date of the aforesaid termination, in accordance with the schedule for exercising the BSA CO-2010 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA CO-2010 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA CO-2010 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA CO-2010 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA CO-2010. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2010. 
  

	Article 5.	Setting of the subscription price for shares covered by the BSA CO-2010 

 The subscription price for shares to be issued pursuant to an exercise of the BSA CO-2010 is set at the fair market value as applicable at the date of allocation of the BSA CO-2010, value to be set and
approved by the Board of Directors of the Company. 

  
 - 5/8 -

 This price is mentioned in the Individual Notification Letter, price which may not be changed during the BSA
CO-2010’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 6.	Suspension of the rights to exercise BSA CO-2010 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2010, In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2010, indicating the date of the suspension and the date on which the right to exercise BSA CO- 2010 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2010 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2010 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA CO-2010 

 All requests for exercising BSA CO-2010, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Shares subscribed must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 
  

	Article 8.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2010 are registered in the books of Sequans Communications as registered shares. 

 

	Article 9.	Rights and availability of shares 

 The new shares (class A preferred shares or ordinary shares, as the case may be) shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to shares of such class as from the
date the increase in share capital is completed. 

  
 - 6/8 -

 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT
OF THE ISSUANCE AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2010 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 
 The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the masse will be governed by applicable legal and regulatory provisions.
The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders – Rights of the Company 

  

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA CO-2010, the Company will have the option of changing its form or object, without obtaining prior authorisation from the
Holders of BSA CO-2010. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be
delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory
provisions. 

  

	11.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined of the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

  
 - 7/8 -

	Article 12.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2010. 

 

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2010 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2010, (b) the date on which all the BSA CO-2010 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2010 Holder on the date on which such holder ceases to hold any BSA CO-2010.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO- 2010 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	

 (The Holder shall initialize each page, sign the last page and write down: “read and
approved") 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 534.373-54 Euros 
 Siège social : 19, Le Parvis de La Defence – 92800 PUTEAUX 
 RCS
Nanterre B 450 269 677 
 BSA CO-2010 (Warrants) Issuance Agreement 2010-2-2 

 
  

(11 January 2011) 
 Dated
                     
 (1)
SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2010 

 Summary 

 

					
	PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT
		
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2010
			
		  	Article 1.	  	Holders of BSA CO-2010
		  	Article 2.	  	Allotment and subscription of BSA CO-2010
		  	Article 3.	  	Features and period of validity of BSA CO-2010 – Conditions of exercise
		  	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2010
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 5.	  	Suspension of the rights to exercise the BSA CO-2010
		  	Article 6.	  	Conditions of exercise of BSA CO-2010
		  	Article 7.	  	Delivery and form of shares
		  	Article 8.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS - PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 9.	  	Representation of Holders
		  	Article 10.	  	Protection of Holders – Rights of the Company
		  	Article 11.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers...) which have not the quality of shareholder of the company. Sequans Communications wishes to set up a system enabling them to share in
its growth. 
 This BSA CO-2010 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2010”) at a set price: the exercise of each BSA CO-2010 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2010 are issued, and that remains fixed during the entire period. In this way, the beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA
CO-2010 to subscribe for shares. This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 
 In a decision taken on 30 June 2010, a combined general shareholders’ meeting voted in favour of the principle of issuing a total number of 100.000 BSA CO-2010 maximum, of the price of Euro
0.01 per BSA CO-2010. Each BSA CO-2010 gives the holder the right to subscribe for one new class A preferred share of the Company at the price set for shares issued in connection with the most recent increase in share capital prior to the
actual issue of said BSA CO-2010. This decision entails the suppression of the shareholders’ pre-emptive subscription rights with respect to the A preferred shares likely to be issued. 
 In addition, this decision granted the Board of Directors the power to issue such BSA CO-2010, on one or more occasions, including the authority to determine the holders and the number of BSA CO-2010 to
be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2010 issued, to record the successive increases in share capital as a
result of the exercise of the BSA CO-2010, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid
delegation of power, the Board of Directors has defined, at a meeting held on 21 July 2010, the terms and conditions of the issuance agreement (hereafter the “2010-2 Issuance Agreement”) governing BSA CO-2010 to be issued without
vesting period. 
 By virtue of a decision taken on 11 January 2011, a combined general shareholders’ meeting has amended the
conditions of setting of the subscription price for the class A preferred share (or an ordinary share should the Company be listed on financial markets) to be issued pursuant to exercising an Option, and decided that this price would be set at the
fair market value as applicable at the date of allocation of the Option, value to be set and approved by the Board of Directors of the Company. 

Therefore and pursuant to the aforesaid grant of authority, at a meeting held on 11 January 2011, the Board of Directors decided the procedures
applicable to this stock and established the present 2010-2-2 Issuance Agreement which is a declination of the 2010-2 Issuance Agreement and which include the new conditions of setting of the subscription price for the share to be issued pursuant to
exercising an Option. 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2010 

 

	Article 1.	Holders of BSA CO-2010 

 The
Holder is a physical person having contributed, directly or indirectly, to the activity of the Company at the date a proposal of subscription of BSA CO-2010 is made pursuant to this Issuance Agreement 

Holders are approved by the Company’s Board of Directors. 
  

	Article 2.	Allotment and subscription of BSA CO-2010 

 The BSA CO-2010 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2010, price which shall be paid on subscription, either by mean of a payment in cash or by way of c set-off
with a debt. 
 The number of BSA CO-2010 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman: the subscription of such BSA CO-2010 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	(i)	a copy of this Issuance Agreement, 

  

	 	(ii)	a copy of the Individual Letter of Notification, and 

  

	 	(iii)	a copy of the “CONTRACTUAL UNDERTAKING” attached to said letter 

being specified that all such copies shall be duly executed by the Beneficiary who acknowledges that the Individual Letter of Notification and the
“CONTRACTUAL UNDERTAKING” are part of these Issuance Agreement. 

FAILURE TO COMPLY WITH THIS MAJOR FORMALITY
WITHIN THE APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE -
SHALL RENDER THE BSA CO-2010 ISSUED IMMEDIATELY AND AUTOMATICALLY VOID. 

 

	Article 3.	Features and period of validity of BSA CO-2010 – Conditions of exercise 

 BSA CO-2010 are irrevocably granted for a period of 10 years as from the time they are issued by the Board of Directors and subject to their subscription by the Holder. 

BSA CO-2010 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA CO-2010 subscribed by the Holder. 
 Exercising a BSA
entitles the Holder to subscribe for one new class A preferred share (or one ordinary share should Sequans Communications be listed on a financial market) of Sequans Communications’ share capital at the applicable price as defined under
article 5 hereafter. 
 This number of shares cannot be modified during the BSA CO-2010’ period of validity, except in the event of an
adjustment in the subscription price in accordance with the requirements provided by law. 

  
 - 4/7 -

 Any BSA CO-2010 that is not exercised before the expiry of the aforementioned 10-year period shall be null
and void. 
 In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA
CO-2010. After the expiry of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2010. 
  

	Article 4.	Setting of the subscription price for shares covered by the BSA CO-2010 

 The subscription price for shares to be issued pursuant to an exercise of the BSA CO-2010 is set at the fair market value as applicable at the date of allocation of the BSA CO-2010, value to be set and
approved by the Board of Directors of the Company. 
 This price is mentioned in the Individual Notification Letter, price which may not be
changed during the BSA CO-2010’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 
 Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 
  

	Article 5.	Suspension of the rights to exercise BSA CO-2010 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2010. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2010, indicating the date of the suspension and the date on which the right to exercise BSA CO- 2010 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2010 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2010 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA CO-2010 

 All requests for exercising BSA CO-2010, documented by the signature of the corresponding subscription certificate, shall be sent to Sequans Communications, and must be accompanied by a cheque made out to
the Company’s order in an amount corresponding to the number of shares subscribed. 
 Subscribed shares must be, at the time of
subscription, either fully paid up in cash or by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and
void. 

  
 - 5/7 -

	Article 7.	Delivery and form of shares 

Shares acquired by exercising BSA CO-2010 are registered in the books of Sequans Communications as registered shares. 

 

	Article 8.	Rights and availability of shares 

 The new shares (class A preferred shares or ordinary shares, as the case may be) shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to shares of such class as from the
date the increase in share capital is completed. 
 These shares shall be immediately transferable, in compliance with the
“CONTRACTUAL UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS
– PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L 228-103 of the French Commercial Code, the Holders of BSA CO-2010 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or mare representatives of the body, at the request of the Board of Directors. The representative(s) of the
masse will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders – Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	During the entire period of validity of the BSA CO-2010, the Company will have the option of changing its form or object, without obtaining prior authorisation from the
Holders of BSA CO-2010. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be
delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory
provisions. 

  
 - 6/7 -

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect – Amendment of the Issuance agreement – Term – Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2010. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2010 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2010, (b) the date on which all the BSA CO-2010 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2010 Holder on the date on which such holder ceases to hold any BSA CO-2010.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO- 2010 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

Executed in two (2) copies 
  

							
	SEQUANS COMMUNICATIONS	 		 	  
	 	
				
	M.                             
                                         
  	 		 	  
	 	
				
	(the “Holder”)	 		 		 	

 (The Holder shall initialize each page, sign the last page and write down the mention
“read and approved”) 

  
 - 7/7 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 554.400,26 Euros 
 Siège social : 19, Le Parvis de La Défense – 92800 PUTEAUX
 RCS
Nanterre B 450 249 677 
 BSA 2011-1 (Warrants) Issuance Agreement 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2011 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	 Title 1.
	  	SUBSCRIPTION AND FEATURES OF BSA CO-2011
			
		  	Article 1.	  	Holders of BSA CO-2011
		  	Article 2.	  	Allotment and subscription of BSA CO-2011
		  	Article 3.	  	Features and period of validity of BSA CO-2011 – Conditions of exercise
		  	Article 4.	  	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries
		  	Article 5.	  	Setting of the subscription price for shares covered by the BSA CO-2011
		
	 Title 2.
	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 6.	  	Suspension of the rights to exercise the BSA CO-2011
		  	Article 7.	  	Conditions of exercise of BSA CO-2011
		  	Article 8.	  	Delivery and form of shares
		  	Article 9.	  	Rights and availability of shares
		
	 Title 3.
	  	REPRESENTATION OF HOLDERS - PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 10.	  	Representation of Holders
		  	Article 11.	  	Protection of Holders – Rights of the Company
		  	Article 12.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers.) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in its
growth. 
 This BSA CO-2011 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2011”) at a set price; the exercise of each BSA CO-2011 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2011 are issued, and that remains fixed during the entire period. In this way, the beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA
CO-2011 to subscribe for shares. This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 
 In a decision taken on 8 March 2011, a combined general shareholders’ meeting voted in favour of the principle of issuing BSA CO-2011, with a unitary price of 0.01 Euro, likely to give rise to a
maximum of 3,500,000 new shares with a unitary par value of EUR 0.01 (or 1,750,000 new shares at a unitary par value of EUR 0.02, from the effective date of the reverse split of the Company shares). 

This combined general shareholders’ meeting has defined the conditions of setting of the subscription price for the security likely to be issued
upon exercise of each BSA CO-2011 and decided that this price would be set by the Board of Directors of the Company, at the fair market value as applicable at the date of allocation of the BSA CO-2011, pursuant to objective methods applicable in the
field of assessment of shares (including, as the case may be, the reference to the market price of Company listed shares), and if required, with the assistance of independent experts. 
 In addition, this decision granted the Board of Directors the power to issue such BSA CO-2011, on one or more occasions, including the authority to determine the holders and the number of BSA CO-2011 to
be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2011 issued, to record the successive increases in share capital as a
result of the exercise of the BSA CO-2011, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid
delegation of power, the Board of Directors has defined, at a meeting held on 8 March 2011, the terms and conditions of an issuance agreement (hereafter the “BSA 2011-1 Issuance Agreement”) governing BSA CO-2011. 

THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2011 

 

	Article 1.	Holders of BSA CO-2011 

 The Holder
is a physical person having effective contractual relationship – on the basis of a services contract duly signed – with Sequans Communications at the date an offer of subscription of BSA CO-2011 is made pursuant to this BSA 2011-1 Issuance
Agreement. 
 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2011. 

 The BSA CO-2011 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2011, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2011 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2011 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	(i)	a copy of this Issuance Agreement, 

  

	 	(ii)	a copy of the Individual Letter of Notification, and 

  

	 	(iii)	a copy of the “CONTRACTUAL UNDERTAKING” attached to said letter 

being specified that all such copies shall be duly executed by the Beneficiary who acknowledges that the Individual Letter of Notification and the
“CONTRACTUAL UNDERTAKING” are part of these Issuance Agreement. 

FAILURE TO COMPLY WITH THIS MAJOR FORMALITY
WITHIN THE APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE -
SHALL RENDER THE BSA CO-2011 ISSUED IMMEDIATELY AND AUTOMATICALLY NULL AND VOID. 

 

	Article 3.	Features and period of validity of BSA CO-2011 – Conditions of exercise 

 BSA CO-2011 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2011 must be exercised within the aforementioned maximum period of 10 years, any BSA CO-2011 not exercised before the expiry of such period
shall automatically become null and void. 
 The Holder must comply with the following schedule: 

(i) first allotment 
  

	 	•	 	 The Holder may exercise his/her BSA CO-2011 at the rate of 1/24th per month for the period between the 1st and 24th month following the date the services contract signed with Sequans Communications – or one of its subsidiaries -
has entered in force. 

  
 - 4/8 -

 (i) further allotment(s) 

 

	 	•	 	 The Beneficiary may exercise his/her BSA CO-2011 at the rate of 1/24th per month for the period between the 1st and 24th month following the date of the issue of such BSA CO-2011. 

The first exercise must cover 25% of the BSA CO-2011 subscribed and exercisable by the Holder, in accordance with the schedule set out above. 

Exercising a BSA CO-2011 entitles the Holder to subscribe for one new class A preferred share with a par value of EUR 0.01 (or two (2) Options will
allow the Beneficiary to subscribe for one (1) ordinary share with a par value of EUR 0.02, from the effective date of the conversion of A preferred shares in ordinary shares and reverse split of the Company shares) (hereafter a “New
Share”). 
 This number of shares cannot be modified during the BSA CO-2011’ period of validity, except in the event of an
adjustment in the subscription price - as defined under article 5 below - in accordance with the requirements provided by law. 
  

	Article 4.	Cessation of Holder’s contractual relationship with Sequans Communications or one of its subsidiaries 

In the event of a termination, anticipated or not, of the Holder’s services contract with Sequans Communications or one of its subsidiaries,
regardless of the reason, said Holder shall lose any and all rights with regard to BSA CO-2011 not yet exercisable on the date of the aforesaid termination, in accordance with the schedule for exercising the BSA CO-2011 set out in the Individual
Notification Letter referred to under article 2 above. 
 However, the Holder retains the right to exercise BSA CO-2011 that are exercisable and
that have not yet been exercised, provided that such Holder exercises his/her BSA CO-2011 within a period of thirty (30) days following the aforesaid termination. 
 After the expiry of such period, the Holder shall lose any and all rights with regard to unexercised BSA CO-2011 which shall be null and void. 
 Notwithstanding the above and in the event of death of the Holder, his heirs or beneficiaries shall have a period of 6 months to exercise the BSA CO-2011. After the expiry of this 6-month period
hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2011. 
  

	Article 5.	Setting of the subscription price for shares covered by the BSA CO-2011 

 The subscription price for shares to be issued pursuant to an exercise of the BSA CO-2011 is set at the fair market value as applicable at the date of allocation of the BSA CO-2011, value to be set and
approved by the Board of Directors of the Company, pursuant to objective methods applicable in the field of assessment of shares (including, as the case may be, the reference to the market price of Company listed shares), and if required, with the
assistance of independent experts. 

  
 - 5/8 -

 This price is mentioned in the Individual Notification Letter, price which may not be changed during the BSA
CO-2011’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 

Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 

 

	Article 6.	Suspension of the rights to exercise BSA CO-2011 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2011. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2011, indicating the date of the suspension and the date on which the right to exercise BSA CO-2011 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2011 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2011 shall be extended by 3 months. 
  

	Article 7.	Conditions of exercise of BSA CO-2011 

 All requests for exercising BSA CO-2011, documented by the signature of a subscription certificate specific to this BSA 2011-1 Issuance Agreement, shall be sent to Sequans Communications, and shall be
accompanied by a cheque made out to the Company’s order in an amount corresponding to the number of New Shares subscribed, considering that such shares must be fully paid up in cash at the time of subscription, except the case of settlement of
the subscription price by way of a set-off with a debt. 
 Failure to do so renders the subscription of shares null and void. 

 

	Article 8.	Delivery and form of shares 

 New
Shares acquired by exercising BSA CO-2011 are registered in the books of Sequans Communications as registered shares. 
  

	Article 9.	Rights and availability of shares 

The New Shares shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to shares of their category as from the date the
increase in share capital is completed. 
 These shares shall be immediately transferable, in compliance with the
“CONTRACTUAL UNDERTAKING”. 

  
 - 6/8 -

 Title 3. REPRESENTATION OF HOLDERS – PROTECTION – AMENDMENT OF THE ISSUANCE
AGREEMENT 
  

	Article 10.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2011 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the masse
will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 11.	Protection of Holders – Rights of the Company 

  

	11.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	11.2	During the entire period of validity of the BSA CO-2011, the Company will have the option of changing its form or object, without obtaining prior authorisation from the
Holders of BSA CO-2011. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be
delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory
provisions. 

  

	11.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	11.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 12.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	12.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2011. 

  
 - 7/8 -

	12.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2011 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2011, (b) the date on which all the BSA CO-2011 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2011 Holder on the date on which such holder ceases to hold any BSA CO-2011.

  

	12.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO-2011 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	
	
	(The Holder shall initialize each page, sign the last page and write down: “read and approved”)

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme au capital de 554.400,26 Euros 
 Siège social : 19, Le Parvis de La Défense – 92800 PUTEAUX
 RCS
Nanterre B 450 249 677 
 BSA 2011-2 (Warrants) Issuance Agreement 

 
  
 Dated                      
 (1) SEQUANS COMMUNICATIONS 
 (2) THE HOLDERS OF BSA CO-2011 

 Summary 
 PREAMBLE : PRESENTATION OF THE ISSUANCE AGREEMENT 
  

					
	Title 1.	  	SUBSCRIPTION AND FEATURES OF BSA CO-2011
			
		  	Article 1.	  	Holders of BSA CO-2011
		  	Article 2.	  	Allotment and subscription of BSA CO-2011
		  	Article 3.	  	Features and period of validity of BSA CO-2011 – Conditions of exercise
		  	Article 4.	  	Setting of the subscription price for shares covered by the BSA CO-2011
		
	Title 2.	  	RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED
			
		  	Article 5.	  	Suspension of the rights to exercise the BSA CO-2011
		  	Article 6.	  	Conditions of exercise of BSA CO-2011
		  	Article 7.	  	Delivery and form of shares
		  	Article 8.	  	Rights and availability of shares
		
	Title 3.	  	REPRESENTATION OF HOLDERS - PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT
			
		  	Article 9.	  	Representation of Holders
		  	Article 10.	  	Protection of Holders – Rights of the Company
		  	Article 11.	  	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction

 WHEREAS 
 In order to reward its business partners (consultants, advisers.) which have not the quality of shareholder of the company, Sequans Communications wishes to set up a system enabling them to share in its
growth. 
 This BSA CO-2011 subscription plan is a mechanism by which Sequans Communications offers its business partners the possibility of
subscribing for warrants (hereafter referred to as “BSA CO-2011”) at a set price; the exercise of each BSA CO-2011 allows the subscription for a new class A preferred share during a certain period, at a price set on the date the BSA
CO-2011 are issued, and that remains fixed during the entire period. In this way, the beneficiaries participate in their company’s performance through the changes in share value, even before they become shareholders by exercising the BSA
CO-2011 to subscribe for shares. This mechanism is governed, in particular, by the provisions set forth under article L.228-91 of the French Commercial Code. 
 In a decision taken on 8 March 2011, a combined general shareholders’ meeting voted in favour of the principle of issuing BSA CO-2011, with a unitary price of 0.01 Euro, likely to give rise to a
maximum of 3,500,000 new shares with a unitary par value of EUR 0.01 (or 1,750,000 new shares at a unitary par value of EUR 0.02, from the effective date of the reverse split of the Company shares). 

This combined general shareholders’ meeting has defined the conditions of setting of the subscription price for the security likely to be issued
upon exercise of each BSA CO-2011 and decided that this price would be set by the Board of Directors of the Company, at the fair market value as applicable at the date of allocation of the BSA CO-2011, pursuant to objective methods applicable in the
field of assessment of shares (including, as the case may be, the reference to the market price of Company listed shares), and if required, with the assistance of independent experts. 
 In addition, this decision granted the Board of Directors the power to issue such BSA CO-2011, on one or more occasions, including the authority to determine the holders and the number of BSA CO-2011 to
be issued and the exercise conditions. Furthermore, the Board of Directors was granted the power to increase share capital by a maximum amount equal to the total number of BSA CO-2011 issued, to record the successive increases in share capital as a
result of the exercise of the BSA CO-2011, and to carry out all formalities required as a result thereof. 
 Pursuant to the aforesaid
delegation of power, the Board of Directors has defined, at a meeting held on 8 March 2011, the terms and conditions of an issuance agreement (hereafter the “BSA 2011-2 Issuance Agreement”) governing BSA CO-2011 to be issued
without vesting period. 
 THE PARTIES AGREE AS FOLLOWS 

 Title 1. SUBSCRIPTION AND FEATURES OF BSA CO-2011 

 

	Article 1.	Holders of BSA CO-2011 

 The Holder
is a physical person having effective contractual relationship – on the basis of a services contract duly signed - with Sequans Communications at the date an offer of subscription of BSA CO-2011 is made pursuant to this BSA 2011-1 Issuance
Agreement. 
 Holders are approved by the Company’s Board of Directors. 

 

	Article 2.	Allotment and subscription of BSA CO-2011. 

 The BSA CO-2011 proposed to the Holders shall be subscribed at the price of 0.01 Euro per BSA CO-2011, price which shall be paid on subscription, either by mean of a payment in cash or by way of a set-off
with a debt. 
 The number of BSA CO-2011 proposed to each Holder shall be indicated in an Individual Notification Letter sent to him/her by the
Chairman; the subscription of such BSA CO-2011 shall be done no later than 7 days from the receipt of the aforesaid letter, by returning to the Company 
  

	 	(i)	a copy of this Issuance Agreement, 

  

	 	(ii)	a copy of the Individual Letter of Notification, and 

  

	 	(iii)	a copy of the “CONTRACTUAL UNDERTAKING” attached to said letter 

being specified that all such copies shall be duly executed by the Beneficiary who acknowledges that the Individual Letter of Notification and the
“CONTRACTUAL UNDERTAKING” are part of these Issuance Agreement. 

FAILURE TO COMPLY WITH THIS MAJOR FORMALITY
WITHIN THE APPLICABLE PERIOD – EXCEPT IN THE EVENT OF FORCE MAJEURE -
SHALL RENDER THE BSA CO-2011 ISSUED IMMEDIATELY AND AUTOMATICALLY NULL AND VOID. 

 

	Article 3.	Features and period of validity of BSA CO-2011 – Conditions of exercise 

 BSA CO-2011 are granted for a period of 10 years as from the time they are issued by the Board of Directors, and provided they are subscribed for by the Holder. 

BSA CO-2011 shall be exercisable from the date of their subscription by the Holder. 
 The first exercise must cover 25% of the BSA CO-2011 subscribed by the Holder. 
 Exercising a BSA
CO-2011 entitles the Holder to subscribe for one new class A preferred share with a par value of EUR 0.01 (or two (2) Options will allow the Beneficiary to subscribe for one (1) ordinary share with a par value of EUR 0.02, from the
effective date of the conversion of A preferred shares in ordinary shares and reverse split of the Company shares) (hereafter a “New Share”). 

  
 - 4/7 -

 This number of shares cannot be modified during the BSA CO-2011’ period of validity, except in the
event of an adjustment in the subscription price - as defined under article 5 below - in accordance with the requirements provided by law. 

Any BSA CO-2011 that is not exercised before the expiry of the aforementioned 10-year period shall be null and void. 

In the event of death of the Holder, his heirs or beneficiaries shall have a period of six (6) months to exercise the BSA CO-2011. After the expiry
of this 6 month-period hereinabove, said heirs or beneficiaries shall lose all rights with regard to unexercised BSA CO-2011. 
  

	Article 4.	Setting of the subscription price for shares covered by the BSA CO-2011 

 The subscription price for shares to be issued pursuant to an exercise of the BSA CO-2011 is set at the fair market value as applicable at the date of allocation of the BSA CO-2011, value to be set and
approved by the Board of Directors of the Company, pursuant to objective methods applicable in the field of assessment of shares (including, as the case may be, the reference to the market price of Company listed shares), and if required, with the
assistance of independent experts. 
 This price is mentioned in the Individual Notification Letter, price which may not be changed during the
BSA CO-2011’ period of validity, except in the event of adjustments in accordance with statutory and regulatory requirements. 
 Title 2. RIGHT OF EXERCIZE – SUSPENSION – FORMALITIES – SHARES SUBSCRIBED 
  

	Article 5.	Suspension of the rights to exercise BSA CO-2011 

 If necessary, the Board of Directors may suspend the right to exercise the BSA CO-2011. In particular, a suspension may be ordered whenever a transaction concerning Sequans Communications’ share
capital requires knowing in advance the exact number of shares that make up share capital or in the event that one of the financial transactions requiring an adjustment is carried out. 
 In such case, Sequans Communications shall inform the Beneficiaries of the BSA CO-2011, indicating the date of the suspension and the date on which the right to exercise BSA CO-2011 will be
re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BSA CO-2011 expires during a period in which rights are
suspended, the period for exercising the BSA CO-2011 shall be extended by 3 months. 
  

	Article 6.	Conditions of exercise of BSA CO-2011 

 All requests for exercising BSA CO-2011, documented by the signature of a subscription certificate specific to this BSA 2011-1 Issuance Agreement, shall be sent to Sequans Communications, and shall be
accompanied by a cheque made out to the Company’s order in an amount corresponding to the number of New Shares subscribed, considering that 

  
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such shares must be fully paid up in cash at the time of subscription, except the case of settlement of the subscription price by way of a set-off with a debt. 

Failure to do so renders the subscription of shares null and void. 
  

	Article 7.	Delivery and form of shares 

 New
Shares acquired by exercising BSA CO-2011 are registered in the books of Sequans Communications as registered shares. 
  

	Article 8.	Rights and availability of shares 

The New Shares shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to shares of their category as from the date the
increase in share capital is completed. 
 These shares shall be immediately transferable, in compliance with the
“CONTRACTUAL UNDERTAKING”. 
 Title 3. REPRESENTATION OF HOLDERS –
PROTECTION – AMENDMENT OF THE ISSUANCE AGREEMENT 
  

	Article 9.	Representation of Holders of BSA 

 Pursuant to the provisions of Article L. 228-103 of the French Commercial Code, the Holders of BSA CO-2011 are grouped into a body with legal personality protecting their joint interests (the
“masse”). General meetings of Holders meet at the registered office or in any other location of the department of the registered office or of bordering departments. 

The masse will appoint one or more representatives of the body, at the request of the Board of Directors. The representative(s) of the masse
will be governed by applicable legal and regulatory provisions. The representative of the masse will receive no remuneration for his duties. 
  

	Article 10.	Protection of Holders – Rights of the Company 

  

	10.1	Holders will enjoy the protection reserved by law and regulations for holders of securities giving access to the capital. The Company will provide the Holders, or their
representative, with the information set out by the law and regulations. 

  

	10.2	 During the entire period of validity of the BSA CO-2011, the Company will have the option of changing its form or object, without obtaining prior
authorisation from the Holders of BSA CO-2011. In addition, the Company shall be entitled to change the rules for distributing profits, write down its capital, or create preferred shares entailing such modification or writing down, subject to the
prior authorisation to be delivered pursuant the terms of Article L. 228-103 of the French Commercial code and provided that the 

  
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Company accordingly take the measures necessary to maintain the rights of the Holders, in compliance with applicable legal and/or regulatory provisions. 

 

	10.3	Subject to the powers expressly reserved by law for the general meeting of shareholders and, as the case may be, for the general meeting and for the representative of
the body of Holders, the Board of directors will be empowered to take any measure relating to the protection and adjustment of the rights of Holders as provided for by the law and regulations, in particular by Article L. 228-99 of the French
Commercial Code. 

  

	10.4	The Issuance Agreement and the conditions for the subscription or allotment of equity securities determined at the time of the issuance may only be amended by the
extraordinary general meeting of shareholders of the Company, with the authorisation of the Holders obtained under the conditions provided for by law, in particular by Article L. 228-103 of the French Commercial Code. 

 

	Article 11.	Binding effect – Amendment of the issuance agreement – Term – Jurisdiction 

 

	11.1	The Holders are automatically subject to this Issuance Agreement, through this subscription or acquisition of BSA CO-2011. 

 

	11.2	This Issuance Agreement becomes effective on the date of effective subscription of the BSA CO-2011 and ends on the first of the following dates: (a) the expiry
date of the BSA CO-2011, (b) the date on which all the BSA CO-2011 have been exercised or waived. In addition, it will cease to be binding on each BSA CO-2011 Holder on the date on which such holder ceases to hold any BSA CO-2011.

  

	11.3	This Issuance Agreement is subject to French law. Any dispute relating to this Issuance Agreement or relating to the application of the terms and conditions of the BSA
CO-2011 will be referred to the relevant court of the district of the Cour d’appel of the registered office of the Company. 

 Executed in two (2) copies 
  

									
	SEQUANS COMMUNICATIONS	 		 	  
	 	
					
	M.	 	  
	 		 	  
	 	
				
	(the “Holder”)	 		 		 	
	
	(The Holder shall initialize each page, sign the last page and write down: “read and approved”)

  
 - 7/7 -BCE Subscription Plans

 Exhibit 10.3 
 SEQUANS COMMUNICATIONS 
 Regulation 

 
  

Founders Warrant Granting Plan. 2006-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

VI - TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003. 
 This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 
 The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 

 

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals. 

 The shareholders in a extraordinary general shareholders’ meeting held on December 15, 2005, voted in favour of a resolution for the issuance of a total number of 400,000 BCE maximum
and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set for shares issued in connection with the most recent share capital increase prior to the
issuance of said BCE. 
 In addition, the shareholders granted to the Board of Directors the power to grant such BCE, in one or several times,
including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’ preemptive subscription right – to increase the share capital for a maximum amount
equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to 

 
carry out all formalities required as a result thereof. 
 Pursuant to this grant of
authority, and partially using the authorization it has been granted, the Board of Directors, in a meeting held on January 12, 2006, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance
with the principles decided by the aforementioned extraordinary general shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 
 The list of the BCE Plan’s beneficiaries
(hereinafter the “Beneficiaries”) has been approved by the Company’s Board of Directors. 
 III-1. Granting of the BCE

 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section
III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been
granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed
the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and
automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries.

 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the following
calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration

  
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of the 12 months period following his/her entrance in the company SEQUANS COMMUNICATIONS or its subsidiaries; 

 

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE , at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason: 
 the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of
his/her duties regarding the exercise calendar set forth in the above article III-2. 
 However, he/she retains the right to
exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to
unexercised BCE. 
 III-4. Determination of the exercise price of the BCE 

  
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 Pursuant to the law and if the company granting the BCE increased its share capital in the six months
preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of shares therefore issued. 
 Consequently,
the subscription price applicable is set in the amount of EUR 0.60 per share (with a premium of 0.59) i.e., the price of the shares issued in connection with the increase in share capital voted by the extraordinary general
shareholders’ meeting held on February 14, 2005. 
 This price may not be changed during the BCE’s period of validity, except in
the event of adjustments in accordance with statutory and regulatory provisions. 
 III-5. Protection of the rights of the Beneficiaries
during the exercise period 
 During the entire period of validity of the BCE, the Company will have the option to modify its form or
object, without having to obtain the prior authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore
take all necessary measures in order to maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV – TERMS AND CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to
exercise the BCE 
 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be
ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions
requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the
suspension and the date on which the right to exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the right
to exercise a BCE expires during a period of suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2.
Procedure and conditions for exercising BCE 
 All requests for exercise of the BCE, documented by the signature of a subscription
certificate specific to the BCE plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully
paid up in cash at the time of subscription. 
 Failure to do so renders the subscription null and void. 

V – FEATURES OF SHARES SUBSCRIBED 

  
 - 6/8 -

 V-1. Delivery and form of shares 
 Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax
treatment. 
 V-2. Possession rights 
 The new shares, class A preferred shares, shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share
capital increase. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE TO
BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 15.000 in 2004, total amount of sales made by a tax household). 

The proportional rate applicable is 16%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security
contributions apply for a total amount of 11% and are divided as follows: 
  

			
	 •    CSG 1:
	  	8,2%
	 •    CRDS 2:
	  	0,5%
	 •    social charges:
	  	2,3%

 Therefore, the total amount of taxation rate is of
27% or of 41% according to the term of the Beneficiary’s office in the Company. 
  

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 7/8 -

 Note: in order to benefit from this specific tax provisions, the Beneficiary will have to attach to his/her
revenue statement of the year when the BCE have been exercised a certificate to be given by the Company. 
 VI-2.
TAX PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for: 
  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Regulation 
  

 
 Founders
Warrant Granting Plan. 2006-2 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK
FOR THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003. 
 This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 
 The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 

 

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals. 

 The shareholders in a extraordinary general shareholders’ meeting held on October 17, 2006, voted in favour of a resolution for the issuance of a total number of 1,300,000 BCE maximum
and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set for shares issued in connection with the most recent share capital increase prior to the
issuance of said BCE. 
 In addition, the shareholders granted to the Board of Directors the power to grant such BCE, in one or several times,
including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’ preemptive subscription right -to increase the share capital for a maximum amount equal to
the number of BCE granted, to record/acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to 

 
carry out all formalities required as a result thereof. 
 Pursuant to this grant of
authority, and partially using the authorization it has been granted, the Board of Directors, in a meeting held on November 9, 2006, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance
with the principles decided by the aforementioned extraordinary general shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 
 The list of the BCE Plan’s beneficiaries
(hereinafter the “Beneficiaries”) has been approved by the Company’s Board of Directors. 
 III-1. Granting of the BCE

 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section
III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been
granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed
the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and
automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries.

 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the following
calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration

  
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of the 12 months period following his/her entrance in the company SEQUANS COMMUNICATIONS or its subsidiaries; 

 

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third patty acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason: 
 the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of
his/her duties regarding the exercise calendar set forth in the above article III-2. 
 However, he/she retains the right to
exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to
unexercised BCE. 
 III-4. Determination of the exercise price of the BCE 

  
 - 5/8 -

 Pursuant to the law and if the company granting the BCE increased its share capital in the six months
preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of shares therefore issued. 
 Consequently,
the subscription price applicable is set in the amount of EUR 1.215 per share (with a premium of 1.205) i.e., the price of the shares issued in connection with the increase in share capital voted by the extraordinary general
shareholders’ meeting held on July 17, 2006. 
 This price may not be changed during the BCE’s period of validity, except in the
event of adjustments in accordance with statutory and regulatory provisions. 
 III-5. Protection of the rights of the Beneficiaries
during the exercise period 
 During the entire period of validity of the BCE, the Company will have the option to modify its form or
object, without having to obtain the prior authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore
take all necessary measures in order to maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV – TERMS AND CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to
exercise the BCE 
 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be
ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions
requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the
suspension and the date on which the right to exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the right
to exercise a BCE expires during a period of suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2.
Procedure and conditions for exercising BCE 
 All requests for exercise of the BCE, documented by the signature of a subscription
certificate specific to the BCE plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully
paid up in cash at the time of subscription. 
 Failure to do so renders the subscription null and void. 

V – FEATURES OF SHARES SUBSCRIBED 

  
 - 6/8 -

 V-1. Delivery and form of shares 
 Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax
treatment. 
 V-2. Possession rights 
 The new shares, class A preferred shares, shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share
capital increase. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE TO
BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 15.000 in 2004, total amount of sales made by a tax household). 

The proportional rate applicable is 16%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security
contributions apply for a total amount of 11% and are divided as follows : 
  

					
	 •     CSG 1:
	  	8,2%	  	
	 •     CRDS 2:
	  	0,5%	  	
	 •     social charges:
	  	2,3%	  	

 Therefore, the total amount of taxation rate is of 27% or of 41% according to the term of the
Beneficiary’s office in the Company. 
  

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 7/8 -

 Note: in order to benefit from this specific tax provisions, the Beneficiary will have to attach to his/her
revenue statement of the year when the BCE have been exercised a certificate to be given by the Company. 
 VI-2.
TAX PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for: 
  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Regulation 
  

 
 Founders
Warrant Granting Plan. 2007-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE . 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003. 
 This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 
 The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 

 

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, 1°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

 The shareholders in a combined general shareholders’ meeting held on May 25, 2007, voted
in favour of a resolution for the issuance of a total number of 400,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July 12, 2007, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance with the principles decided by the aforementioned combined general
shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 

The list of the BCE Plan’s beneficiaries (hereinafter the “Beneficiaries”) has been approved by the Company’s Board of Directors.

 III-1. Granting of the BCE 
 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each
Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its
holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the
BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE Plan
and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of
10 years as from the date they have been granted by the Board of Directors. 

  
 - 4/8 -

 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new
shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries. 
 This BCE cannot be transferred.

 The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the
following calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the exercise calendar set forth in the above article III-2. 

However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary
exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

  
 - 5/8 -

 In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised
BCE. 
 III-4. Determination of the exercise price of the BCE 
 Pursuant to the law and if the company granting the BCE increased its share capital in the six months preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of
shares therefore issued. 
 Consequently, the subscription price applicable is set in the amount of EUR 1.215 per share (with a
premium of 1.205) i.e., the price of the shares issued in connection with the increase in share capital voted by the Board of Directors of the Company on December 1, 2006 on authority granted by the combined general shareholders’ meeting
held on November 17, 2007. 
 This price may not be changed during the BCE’s period of validity, except in the event of adjustments in
accordance with statutory and regulatory provisions. 
 III-5. Protection of the rights of the Beneficiaries during the exercise period

 During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to
obtain the prior authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore take all necessary measures
in order to maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV –
TERMS AND CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to exercise the BCE 

If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction
concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 

In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to
exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of
suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2. Procedure and conditions for exercising BCE

  
 - 6/8 -

 All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to
the BCE plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully paid up in cash at the
time of subscription. 
 Failure to do so renders the subscription null and void. 

V – FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 Shares acquired by exercising the BCE are
registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 
 The new shares, class A preferred shares, shall be subject
to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 

VI – TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE TO
BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 20.000 in 2007, total amount of sales made by a tax household). 

The proportional rate applicable is 16%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security
contributions apply for a total amount of 11% and are divided as follows: 

  
 - 7/8 -

			
	 •    CSG 1:
	  	8,2%
	 •    CRDS 2:
	  	0,5%
	 •    social charges:
	  	2,3%

 Therefore, the total amount of taxation rate is of
27% or of 41% according to the term of the Beneficiary’s office in the Company. 
 Note: in order to benefit from this
specific tax provisions, the Beneficiary will have to attach to his/her revenue statement of the year when the BCE have been exercised a certificate to be given by the Company. 
 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD.

 Beneficiaries domiciled abroad are themselves solely responsible for: 

 

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Regulation 
  

 
 Founders
Warrant Granting Plan. 2008-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30, 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30,
1998 -, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003. 
 This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 
 The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 

 

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by : 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 12, 2008, voted
in favour of a resolution for the issuance of a total number of 850,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July 9, 2008, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance with the principles decided by the aforementioned combined general
shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 

The list of the BCE 2008-1 Plan’s beneficiaries (hereinafter the “Beneficiaries”) has been approved by the Company’s Board of
Directors. 
 III-1. Granting of the BCE 
 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each
Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its
holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the
BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE 2008-1
Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of
10 years as from the date they have been granted by the Board of Directors. 

  
 - 4/8 -

 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new
shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries. 
 This BCE cannot be transferred.

 The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the
following calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the exercise calendar set forth in the above article III-2. 

However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary
exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

  
 - 5/8 -

 In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised
BCE. 
 III-4. Determination of the exercise price of the BCE 
 Pursuant to the law and if the company granting the BCE increased its share capital in the six months preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of
shares therefore issued. 
 Consequently, the subscription price applicable with respect to this BCE 2008-1 plan is set in the amount of EUR
2.024 per share (with a premium of 2.014) i.e., the price of the shares issued in connection with the increase in share capital voted by the extraordinary general shareholders’ meeting held on January 31, 2008. 

This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory
provisions. 
 III-5. Protection of the rights of the Beneficiaries during the exercise period 

During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior
authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore take all necessary measures in order to
maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV – TERMS AND
CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to exercise the BCE 

If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction
concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 

In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to
exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of
suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2. Procedure and conditions for exercising BCE

  
 - 6/8 -

 All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to
the BCE 2008-1 plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully paid up in cash
at the time of subscription. 
 Failure to do so renders the subscription null and void. 

V – FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 Shares acquired by exercising the BCE are
registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 
 The new shares, class A preferred shares, shall be subject
to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 

VI – TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE TO
BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 25,000 in 2008, total amount of sales made by a tax household). 

The proportional rate applicable is 18%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security
contributions apply for a total amount of 11% and are divided as follows: 

  
 - 7/8 -

			
	 •     CSG 1:
	  	8,2%
	 •     CRDS 2:
	  	0,5%
	 •     social charges:
	  	2,3%

 Therefore, the total amount of taxation rate is of
29% or of 41% according to the term of the Beneficiary’s office in the Company. 
 Note: in order to benefit from this
specific tax provisions, the Beneficiary will have to attach to his/her revenue statement of the year when the BCE have been exercised a certificate to be given by the Company. 
 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD.

 Beneficiaries domiciled abroad are themselves solely responsible for: 

 

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Regulation 
  

 
 Founders
Warrant Granting Plan. 2009-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK
FOR THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism is governed by article 163 bis G of the French Tax Code. 
 The company SEQUANS
COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 12, 2009, voted
in favour of a resolution for the issuance of a total number of 450,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July 15, 2009, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance with the principles decided by the aforementioned combined general
shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 

The list of the BCE 2009-1 Plan’s beneficiaries (hereinafter the “Beneficiaries”) has been approved by the Company’s Board of
Directors. 
 III-1. Granting of the BCE 
 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each
Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its
holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the
BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE 2009-1
Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of
10 years as from the date they have been granted by the Board of Directors. 

  
 - 4/8 -

 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new
shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries. 
 This BCE cannot be transferred.

 The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the
following calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the exercise calendar set forth in the above article III-2. 

However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary
exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

  
 - 5/8 -

 In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised
BCE. 
 III-4. Determination of the exercise price of the BCE 
 The subscription price applicable with respect to this BCE 2009-1 plan is set in the amount of EUR 2.024 per share (with a premium of 2.014) i.e., the price of the shares issued in connection
with the increase in share capital voted by the extraordinary general shareholders’ meeting held on July 10, 2008. 
 This price may
not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory provisions. 
 III-5. Protection of the rights of the Beneficiaries during the exercise period 

During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior
authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore take all necessary measures in order to
maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV – TERMS AND
CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to exercise the BCE 

If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction
concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 

In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to
exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of
suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2. Procedure and conditions for exercising BCE

 All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to the BCE 2009-1 plan, shall
be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be 

  
 - 6/8 -

 
subscribed. Shares subscribed must be fully paid up in cash at the time of subscription. 

Failure to do so renders the subscription null and void. 
 V – FEATURES OF SHARES SUBSCRIBED 
 V-l. Delivery and form of shares

 Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the
statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 

The new shares, class A preferred shares, shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such
class as of the date of completion of the share capital increase. 
 These shares shall be immediately transferable, in compliance with the
“CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX
PROVISIONS 
 VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE
TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 25,730 in 2008, total amount of sales made by a tax household). 

The proportional rate applicable is 18%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security
contributions apply for a total amount of 12,1% and are divided as follows: 
  

			
	 •     CSG l:
	  	8,2%
	 •     CRDS 2:
	  	0,5%

  

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

  
 - 7/8 -

			
	 •    social charges:
	  	2,3%
	 •    contribution for social allowances (RSA): 1,1%

Therefore, the total amount of taxation rate is of 30,1% or of 42,1% according to the term of the Beneficiary’s office in the Company.

 Note: in order to benefit from this specific tax provisions, the Beneficiary will have to attach to his/her revenue statement of the year
when the BCE have been exercised a certificate to be given by the Company. 
 VI-2. TAX PROVISIONS
APPLICABLE TO BENEFICIARIES DOMICILED ABROAD. 
 Beneficiaries
domiciled abroad are themselves solely responsible for: 
  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Regulation 
  

 
 Founders
Warrant Granting Plan. 2009-2 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE . 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 This BCE 2009-2 plan refers more specifically to the employees beneficiaries of the BCE 2004-1 plan that will not, at the expiration date of
the plan, exercise the BCE they have been granted in accordance with this plan and that were restricted to a 5 years period of exercise. 
 This
BCE 2009-2 plan has for requisite to allocate to each of the aforementioned employees a number of BCE equal to the number of BCE 2004-1 it would hold and that would be void, being specified that these new BCE will be exercisable as soon as they will
be granted. 
 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism is governed by article 163 bis G of the French Tax Code. 
 The company SEQUANS
COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind that: 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 12, 2009, voted
in favour of a resolution for the issuance of a total number of 587,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July 15, 2009, has adopted this plan and adopted the terms and conditions applicable to this BCE plan in compliance with the principles decided by the aforementioned combined general
shareholders’ meeting and the applicable statutory provisions. 
 III – DESCRIPTION OF THE PLAN 

The list of the BCE 2009-2 Plan’s beneficiaries (hereinafter the “Beneficiaries”) has been approved by the Company’s Board of
Directors. 
 III-1. Granting of the BCE 
 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each
Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its
holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the
BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE 2009-2
Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of
10 years as from the date they have been granted by the Board of Directors. 

  
 - 4/8 -

 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new
shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries. 
 This BCE cannot be transferred. The BCE
must be exercised within the aforementioned maximum period of ten years. 
 Any first exercise must cover at least 25% of the BCE granted
to the Beneficiary. 
 In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and
void. 
 III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason, the said Beneficiary retains the right to exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of
his/her duties. 
 In the event of incapacity, such period shall be extended to 90 days. 

In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 

After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised
BCE. 
 III-4. Determination of the exercise price of the BCE 
 The subscription price applicable with respect to this BCE 2009-2 plan is set in the amount of EUR 2.024 per share (with a premium of 2.014) i.e., the price of the shares issued in connection
with the increase in share capital voted by the extraordinary general shareholders’ meeting held on July 10, 2008. 
 This price may
not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory provisions. 
 III-5. Protection of the rights of the Beneficiaries during the exercise period 

During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior
authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares. The Company will therefore take all necessary measures in order to
maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions. 
 IV – TERMS AND
CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to exercise the BCE 

  
 - 5/8 -

 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this
suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial
transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of
the suspension and the date on which the right to exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the
right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2.
Procedure and conditions for exercising BCE 
 All requests for exercise of the BCE, documented by the signature of a subscription
certificate specific to the BCE 2009-2 plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be
fully paid up in cash at the time of subscription. 
 Failure to do so renders the subscription null and void. 

V – FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 Shares acquired by exercising the BCE are
registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 
 The new shares, class A preferred shares, shall be subject
to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 
 These shares shall be immediately transferable, in compliance with the “CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 

VI – TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE TO
BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by

  
 - 6/8 -

 
the Beneficiary is equal to the difference between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for
sales of securities is exceeded (EUR 25,730 in 2009, total amount of sales made by a tax household). 
 The proportional rate applicable is 18%,
except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional rates, the following social security contributions apply for a total amount of 12,1% and are divided as follows: 

 

			
	 •     CSG 1:
	  	8,2%
	 •     CRDS 2:
	  	0,5%
	 •     social charges:
	  	2,3%
	 •     contribution for social allowances (RSA): 1,1 %

Therefore, the total amount of taxation rate is of 30,1% or of 42,1% according to the term of the Beneficiary’s office in the Company.

 Note: in order to benefit from this specific tax provisions, the Beneficiary will have to attach to his/her revenue statement of the year
when the BCE have been exercised a certificate to be given by the Company. 
 VI-2. TAX
PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for: 
  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 7/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme with a share capital of 475,712.78 Euros 
 Registered office: 19 Le Parvis de Paris La Défense – 92800 PUTEAUX 

Trade Register N°: 450 249 677 Nanterre 
 Regulation 
  

 
 Founders
Warrant Granting Plan. 2010-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK
FOR THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003, the law n°2008-776 dated August 4, 2008. 

This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 

The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind
that: 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 30, 2010, voted
in favour of a resolution for the issuance of a total number of 724,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July [21], 2010, has adopted this plan and adopted the terms and conditions applicable to this BCE plan hereinafter “the BCE 2010-1 Plan”, in compliance with the principles decided by the
aforementioned combined general shareholders’ meeting and the applicable statutory provisions, being specified that this BCE 2010-1 Plan shall apply to the issuance of a maximum of 600,000 BCE. 

III – DESCRIPTION OF THE PLAN 
 The list of the BCE 2010-1 Plan’s beneficiaries (hereinafter the “Beneficiaries”) has been approved by the Company’s Board of Directors. 

III-1. Granting of the BCE 
 The
BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary shall be indicated in the Individual
Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its holder to subscribe for one new class A preferred
share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the BCE period of validity, except in the event of an
adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of
seven (7) days following the receipt of the letter informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE 2010-1 Plan and a copy of the “CONTRACTUAL
UNDERTAKING” attached to the said letter, after the Beneficiary has duly executed the said copies. 
 Failure to comply
with this formality within the applicable period shall render the granted BCE immediately and automatically void. 
 III-2. Terms and
conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the

  
 - 4/8 -

 
Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of
shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries. 

This BCE cannot be transferred. 
 The BCE must
be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the following calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 

In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 

III-3. Beneficiary termination of services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of
the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the exercise calendar set forth in the above article III-2. 

However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been exercised provided that the Beneficiary
exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

  
 - 5/8 -

 
In the event of incapacity, such period shall be extended to 90 days. 
 In the event of
death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 
 After expiration of the periods
aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised BCE. 
 III-4.
Determination of the exercise price of the BCE 
 Pursuant to the law and if the company granting the BCE increased its share capital in
the six months preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of shares therefore issued. 

Consequently, the subscription price applicable with respect to this BCE 2010-1 plan is set in the amount of EUR 2.024 per share (with a
premium of 2.014) i.e., the price of the shares issued in connection with the increase in share capital voted by the extraordinary general shareholders’ meeting held on July 16, 2010. 

This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory
provisions. 
 III-5. Protection of the rights of the Beneficiaries during the exercise period 

During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior
authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior
authorisation to be delivered in accordance with to the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly takes all necessary measures in order to maintain Beneficiaries’ rights, in compliance
with applicable legal and/or regulatory provisions. 
 IV – TERMS AND CONDITIONS FOR EXERCISING BCE 

IV-1. Suspension of the rights to exercise the BCE 
 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital
requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to exercise the BCE will be re-established. Such
suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE
shall be extended by 3 months. 

  
 - 6/8 -

 IV-2. Procedure and conditions for exercising BCE 

All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to the BCE 2010-1 plan, shall be sent to SEQUANS
COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully paid up in cash at the time of subscription. 

Failure to do so renders the subscription null and void. 
 V – FEATURES OF SHARES SUBSCRIBED 
 V-l. Delivery and form of shares

 Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the
statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 

The new shares, class A preferred shares, shall be subject to all provisions of the by-laws and shall enjoy all rights pertaining to the shares of such
class as of the date of completion of the share capital increase. 
 These shares shall be immediately transferable, in compliance with the
“CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX
PROVISIONS 
 VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE
TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE, the gain realised by the Beneficiary is equal to the difference between
the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain realised
on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 25,830 in 2010, total amount of sales made by a tax household). 

The proportional rate applicable is 18%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less
than three years, then the gain is subject to a 30% tax rate. 

  
 - 7/8 -

 In addition to these proportional rates, the following social security contributions apply for a total
amount of 11% and are divided as follows: 
  

			
	 •    CSG 1:
	  	8,2%
	 •    CRDS 2:
	  	0,5%
	 •    social charges:
	  	2,3%
	 •    contribution to the national solidarity fund for autonomy 0,3%

	 •    contribution for social allowances (RSA): 1,1%

Therefore, the total amount of taxation rate is of 30,1% or of 42,1% according to the term of the Beneficiary’s office in the Company.

 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES
DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for:

  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme with a share capital of 475,712.78 Euros 

Registered office: 19 Le Parvis de Paris La Défense – 92800 PUTEAUX 

Trade Register N°: 450 249 677 Nanterre 
 Regulation 
  

 
 Founders
Warrant Granting Plan. 2010-2 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE . 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003, the law n°2008-776 dated August 4, 2008. 

This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 

The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind
that: 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 30, 2010, voted
in favour of a resolution for the issuance of a total number of 724,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July [21], 2010, has adopted this plan and adopted the terms and conditions applicable to this BCE plan hereinafter “the BCE 2010-2 Plan”, in compliance with the principles decided by the
aforementioned combined general shareholders’ meeting and the applicable statutory provisions, being specified that this BCE 2010-2 Plan shall apply to the issuance of a maximum of 124,000 BCE and is for the sole benefit of the holders
of BCE issued in application of the BCE 2004-1 plan that could not have been exercised within the timeline of 5 years set by the aforesaid plan. 
 III – DESCRIPTION OF THE PLAN 
 The list of the BCE 2010-2 Plan’s beneficiaries
(hereinafter the “Beneficiaries”) has been approved by the Company’s Board of Directors. 
 III-1. Granting of the BCE

 The BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary shall be indicated in the Individual Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its holder to subscribe for one new class A preferred share of SEQANS COMMUNICATIONS. 
 This number of shares cannot be modified during the BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section
III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the letter informing him/her that he/she has been
granted BCE, the Beneficiary undertakes to return to the Company a copy of this BCE 2010-2 Plan and a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, after the Beneficiary has duly
executed the said copies. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and
automatically void. 
 III-2. Terms and conditions of the BCE 

  
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 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board
of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as
the said BCE are exercised will be suppressed in favour of the Beneficiaries. 
 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, being specified that they may be exercised when they are granted.

 Any first exercise must cover at least 25% of the BCE granted to the Beneficiary. 
 In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would subsequently be dismissed for genuine material cause shall
have the right to exercise all of his/her BCE within a period of 30 days following the date of the said dismissal, notwithstanding the calendar set out above. 
 In any event, any BCE that is not exercised before the expiration of the aforementioned 10-year period shall be null and void. 
 III-3. Beneficiary termination of services with the Company 
 In case of termination
of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of the reason, the said Beneficiary retains the right to exercise the
BCE that became exercisable and that have not yet been exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

In the event of incapacity, such period shall be extended to 90 days. 
 In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 
 After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised BCE. 

III-4. Determination of the exercise price of the BCE 
 Pursuant to the law and if the company granting the BCE increased its share capital in the six months preceding the issuance of the said BCE, the subscription price shall not be inferior to the price of
shares therefore issued. 
 Consequently, the subscription price applicable with respect to this BCE 2010-2 plan is set in the amount of EUR
2.024 per share (with a premium of 2.014) i.e., the price of the shares issued in connection with the increase in share capital voted by the extraordinary general shareholders’ meeting held on July 16, 2010. 

This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory
provisions. 

  
 - 5/8 -

 III-5. Protection of the rights of the Beneficiaries during the exercise period 

During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior
authorisation of the Beneficiaries. In addition, the Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior
authorisation to be delivered in accordance with to the terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly takes all necessary measures in order to maintain Beneficiaries’ rights, in compliance
with applicable legal and/or regulatory provisions. 
 IV – TERMS AND CONDITIONS FOR EXERCISING BCE 

IV-1. Suspension of the rights to exercise the BCE 
 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital
requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to exercise the BCE will be re-established. Such
suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE
shall be extended by 3 months. 
 IV-2. Procedure and conditions for exercising BCE 

All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to the BCE 2010-2 plan, shall be sent to SEQUANS
COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must be fully paid up in cash at the time of subscription. 

Failure to do so renders the subscription null and void. 
 V – FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares

 Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the
statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 

  
 - 6/8 -

 The new shares, class A preferred shares, shall be subject to all provisions of the by-laws and shall enjoy
all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 
 These shares shall be
immediately transferable, in compliance with the “CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX PROVISIONS 
 VI-1. THE TAX
PROVISIONS CURRENTLY APPLICABLE TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE
EXPLAINED BELOW. 
 In the event of a transfer of the shares subscribed following exercise of the BCE, the gain
realised by the Beneficiary is equal to the difference between the sale price of the share and their acquisition price. 
 This gain is imposed
in accordance with the tax treatment of capital gain realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code), and only if the annual threshold for sales of securities is exceeded (EUR 25,830 in 2010, total amount
of sales made by a tax household). 
 The proportional rate applicable is 18%, except if at the date of the transfer of his/her shares the
Beneficiary has performed his/her duties for less than three years, then the gain is subject to a 30% tax rate. 
 In addition to these
proportional rates, the following social security contributions apply for a total amount of 12.1% and are divided as follows: 
  

			
	 •    CSG 1:
	  	8,2%
	 •    CRDS 2:
	  	0,5%
	 •    social charges:
	  	   2%
	 •    contribution to the national solidarity fund for autonomy 0,3%

	 •    contribution for social allowances (RSA): 1,1%

Therefore, the total amount of taxation rate is of 30,1% or of 42,1% according to the term of the Beneficiary’s office in the Company.

 Note: in order to benefit from this specific tax provisions, the Beneficiary will have to attach to his/her revenue statement of the year
when the BCE have been exercised a certificate to be given by the Company. 
 VI-2. TAX
PROVISIONS APPLICABLE TO BENEFICIARIES DOMICILED ABROAD. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 7/8 -

 Beneficiaries domiciled abroad are themselves solely responsible for: 

 

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme with a share capital of 534,373.54 Euros 
 Registered office: 19 Le Parvis de Paris La Défense – 92800 PUTEAUX 

Trade Register N°: 450 249 677 Nanterre 
 Regulation 
  

 
 Founders
Warrant Granting Plan. 2010-1-2 
 (January 11, 2011) 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE. 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II – LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003, the law n°2008-776 dated August 4, 2008. 

This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 

The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind
that: 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by: 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, l°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in a combined general shareholders’ meeting held on June 30, 2010, voted
in favour of a resolution for the issuance of a total number of 724,000 BCE maximum and set the share purchase price that may be subscribed by exercising each BCE – that is one share of category A preference share – at a price set
for shares issued in connection with the most recent share capital increase prior to the issuance of said BCE. 
 In addition, the shareholders
granted to the Board of Directors the power to grant such BCE, in one or several times, including the power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’
preemptive subscription right – to increase the share capital for a maximum amount equal to the number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out
all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted,
the Board of Directors, in a meeting held on July 21, 2010, has adopted this plan and adopted the terms and conditions applicable to this BCE plan hereinafter “the BCE 2010-1 Plan”, in compliance with the principles decided by
the aforementioned combined general shareholders’ meeting and the applicable statutory provisions. 
 The shareholders in a combined
general shareholders’ meeting held on January 11, 2011, amended the terms and conditions for the determination of the price of the security to be subscribed by exercising each BCE and decided that this price will be set at the
market value of the shares of the Company applicable at the date the BCE were granted, value to be set and approved by the Board of directors. 

As a consequence and within the framework of the authority it has been granted, the Board of Directors of January 11, 2011 adopted the terms and
conditions applicable to this BCE plan hereinafter “the BCE 2010-1-2 Plan”, which constitute a declension of the BCE 2010-1 plan integrating the new terms and conditions for the determination of the purchase price. 

III – DESCRIPTION OF THE PLAN 
 The beneficiaries (hereinafter the “Beneficiaries”) of the BCE 2010-1-2 Plan’s have been approved by the Company’s Board of Directors. 

III-1. Granting of the BCE 
 The
BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary shall be indicated in the Individual
Notification Letter sent to him/her by the Chairman. 
 The exercise of a BCE entitles its holder to subscribe for one new class A preferred
share (or an ordinary share in case of the listing of the Company in a financial market) of SEQANS COMMUNICATIONS. 
 This number of shares
cannot be modified during the BCE period of validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 

Within a period of seven (7) days following the receipt of the Individual Letter of Notification

  
 - 4/8 -

 informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company

 (i) a copy of this BCE 2010-1-2 Plan, 

(ii) a copy of the Individual Letter of Notification 
 (iii) a copy of the “CONTRACTUAL UNDERTAKING”attached to the said letter, 
 after the Beneficiary has duly executed the said copies and acknowledged that the Individual Notification Letter and the Contractual Undertaking are part of this plan. 

Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically void. 

III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries.

 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, being specified that the Beneficiary must respect the following
calendar: 
 (i) first grant: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants: 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE, at the rate of
l/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in no other case, the Beneficiary who would
subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the date of the said 

  
 - 5/8 -

 
dismissal, notwithstanding the calendar set out above. 
 In any event, any BCE that is
not exercised before the expiration of the aforementioned 10-year period shall be null and void. 
 III-3. Beneficiary termination of
services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a
company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the
exercise calendar set forth in the above article III-2. 
 However, he/she retains the right to exercise the BCE that became exercisable and
that have not yet been exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 
 In the event of incapacity, such period shall be extended to 90 days. 
 In the event of death, the
Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 
 After expiration of the periods aforementioned,
the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised BCE. 
 III-4. Determination of the
exercise price of the BCE 
 The subscription price of the shares to be issued by exercising the BCE is set at the market value of the
shares of the Company applicable at the date the BCE were granted, value to be set and approved by the Board of directors. 
 This subscription
price is mentioned in the Individual Notification Letter. This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with statutory and regulatory provisions. 

III-5. Protection of the rights of the Beneficiaries during the exercise period 
 During the entire period of validity of the BCE, the Company will have the option to modify its form or object, without having to obtain the prior authorisation of the Beneficiaries. In addition, the
Company shall be entitled to change the rules for profits distribution, write down its capital, or create preferred shares entailing such modification or writing down, subject to the prior authorisation to be delivered in accordance with to the
terms of Article L. 228-103 of the French Commercial code and provided that the Company accordingly takes all necessary measures in order to maintain Beneficiaries’ rights, in compliance with applicable legal and/or regulatory provisions.

 IV – TERMS AND CONDITIONS FOR EXERCISING BCE 
 IV-1. Suspension of the rights to exercise the BCE 

  
 - 6/8 -

 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this
suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial
transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of
the suspension and the date on which the right to exercise the BCE will be re-established. Such suspension may not exceed 3 months. 
 If the
right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE shall be extended by 3 months. 
 IV-2.
Procedure and conditions for exercising BCE 
 All requests for exercise of the BCE, documented by the signature of a subscription
certificate specific to the BCE 2010-1-2 plan, shall be sent to SEQUANS COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed. Shares subscribed must
be fully paid up in cash or by compensation with a liquidated and due debt at the time of subscription. 
 Failure to do so renders the
subscription null and void. 
 V – FEATURES OF SHARES SUBSCRIBED 

V-1. Delivery and form of shares 

Shares acquired by exercising the BCE are registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements
for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 

The new shares (class A preferred shares or ordinary shares if applicable) shall be subject to all provisions of the by-laws and shall enjoy all rights
pertaining to the shares of such class as of the date of completion of the share capital increase. 
 These shares shall be immediately
transferable, in compliance with the “CONTRACTUAL UNDERTAKING”, complied by the Beneficiary. 
 VI – TAX PROVISIONS 
 VI-1. THE TAX
PROVISIONS CURRENTLY APPLICABLE TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE
EXPLAINED BELOW. 

  
 - 7/8 -

 In the event of a transfer of the shares subscribed following exercise of the BCE, the gain realised by the
Beneficiary is equal to the difference between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance
with the tax treatment of capital gain realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code) applicable to the first euro obtained as a capital gain. 
 The proportional rate applicable is 19%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less than three years, then the gain is subject to
a 30% tax rate. 
 In addition to these proportional rates, the following social security contributions apply for a total amount of 12,3% and
are divided as follows: 
  

			
	 •   CSG 1:
	  	8,2%
	 •   CRDS 2:
	  	0,5%
	 •   social charges:
	  	2,3%
	 •   contribution to the national solidarity fund for autonomy 0,3%

	 •   contribution for social allowances (RSA): 1,1%

Therefore, the total amount of taxation rate is of 31,3% or of 42,3% according to the term of the Beneficiary’s office in the Company.

 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES
DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for:

  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme with a share capital of 554.400,26 Euros 

Registered office : 19 Le Parvis de Paris La Défense – 92800 PUTEAUX 

Trade Register N° : 450 249 677 Nanterre 
 Regulation 
  

 
 Founders
Warrant Granting Plan. 2011-1 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE . 

Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax treatment.

 II - LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003, the law n°2008-776 dated August 4, 2008. 

This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 

The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind
that : 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by : 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, 1°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in an ordinary and extraordinary general shareholders’ meeting held on
March 8, 2011, voted in favour of a resolution for the issuance of BCE that cannot give the right to an amount that exceed 3,500,000 new shares of a nominal value of 0.01 euro (or 1,750,000 new shares of a nominal value of 0.02 euro,
starting at the effective date of the reverse split of the shares of the Company). 
 The aforesaid general meeting determined the modalities of
determination of the price of the security to be subscribed by exercising each BCE and decided that this price will be set by the Board of directors at the market value of the shares of the Company applicable at the date the BCE were granted,
following the objective methods applicable for shares appraisal (including, if applicable, the reference to the quoted price of the shares of the Company) and, if it judges necessary, with the assistance of independent appraisal agencies.

 The aforesaid general meeting also granted to the Board of Directors the power to grant such BCE, in one or several times, including the
power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’ preemptive subscription right – to increase the share capital for a maximum amount equal to the
number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted, the Board of Directors, in a meeting held on March 8, 2011, has adopted this plan and adopted
the terms and conditions applicable to this BCE plan hereinafter “the BCE 2011-1 Plan”, in compliance with the principles decided by the aforementioned ordinary and extraordinary general shareholders’ meeting and the applicable
statutory provisions. 
 III - DESCRIPTION OF THE PLAN 
 The beneficiaries (hereinafter the “Beneficiaries”) of the BCE 2011-1 Plan’s have been approved by the Company’s Board of Directors. 

III-1. Granting of the BCE 
 The
BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary and the subscription price upon exercise of
these BCE (as defined under Section III-4 hereinafter) shall be indicated in the Individual Notification Letter sent to him/her by the Chairman which shall constitute a schedule to this regulation. 

The exercise of each BCE entitles its holder to subscribe for one new class A preferred share of the Company of a nominal value of 0.01 € (or two
(2) BCE entitles its holder to subscribe to one (1) ordinary share of a nominal value of 0.02 € starting at the effective date of the conversion of the class A preferred shares in ordinary shares and of the reverse split of the shares
of the Company) (hereinafter referred as a “New Share”). 
 This number of shares cannot be modified during the BCE period of
validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the Individual Letter of Notification 

  
 - 4/8 -

 
informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company 
 (i) a copy of this regulation, 
 (ii) a copy of the Individual Letter of Notification 

(iii) a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, 

after the Beneficiary has duly executed the said copies and acknowledged that the Individual Notification Letter and the Contractual Undertaking are part
of this plan. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically
void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries.

 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, any BCE not exercised before expiration of this period will be
automatically void and devoid of validity. 
 The Beneficiary must respect the following calendar  : 

 

	(i)	first grant : 

  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following his/her entrance in the company
SEQUANS COMMUNICATIONS or its subsidiaries; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE , at the rate of
1/36e per month, within the period from the 13th and the 48th month following the date he/she entered the company SEQUANS COMMUNICATIONS or its subsidiaries.

 (ii) subsequent grants : 
  

	 	•	 	 The Beneficiary shall exercise 25% of the BCE issued to him/her after the expiration of the 12 months period following the date of grant of the said
BCE; 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE , at the rate of
1/36e per month, within the period from the 13th and the 48th month following the date of grant of the said BCE. 

Any first exercise must cover at least 25% of the BCE granted to the Beneficiary, in accordance with the exercise calendars set out above. 

In the event a third party acquires 100% of the share capital of SEQUANS COMMUNICATIONS, and in 

  
 - 5/8 -

 
no other case, the Beneficiary who would subsequently be dismissed for genuine material cause shall have the right to exercise all of his/her BCE within a period of 30 days following the
date of the said dismissal, notwithstanding the calendar set out above. 
 III-3. Beneficiary termination of services with the Company

 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a company officer, due to
resignation, redundancy, dismissal, incapacity or death, regardless of the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the exercise calendar set
forth in the above article III-2. 
 However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been
exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

In the event of incapacity, such period shall be extended to 90 days. 
 In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 
 After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised BCE. 

III-4. Determination of the exercise price of the BCE 
 The subscription price of the New Shares to be issued by exercising the BCE is set at the market value of the shares of the Company applicable at the date the BCE were granted, value to be set and
approved by the Board of directors – within the limits permitted by the applicable legal and regulatory provisions - following the objective methods applicable for shares appraisal (including, if applicable, the reference to the quoted price of
the shares of the Company) and, if it judges necessary, with the assistance of independent appraisal agencies. 
 This subscription price is
mentioned in the Individual Notification Letter. This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with legal provisions. 

III-5. Protection of the rights of the Beneficiaries during the exercise period 
 During the period of exercise of the BCE and as far as the Beneficiary has not exercised all the BCE granted to him/her by the Company, the Company commit to maintain the Beneficiaries’ rights, in
compliance with the provisions of article L. 228-99 of the Commercial Code. 
 IV – TERMS AND CONDITIONS FOR EXERCISING
BCE  
 IV-1. Suspension of the rights to exercise the BCE 

  
 - 6/8 -

 If necessary, the Board of Directors may suspend the right to exercise the BCE. 

In particular, this suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital requires knowing in advance
the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to exercise the BCE will be re-established. Such
suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE
shall be extended by 3 months. 
 IV-2. Procedure and conditions for exercising BCE 

All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to the BCE 2011-1 plan, shall be sent to SEQUANS
COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed, shares subscribed must be fully paid up in cash at the time of subscription, except payment by
compensation with a liquidated and due debt on the Company. 
 Failure to do so renders the subscription null and void. 

V - FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 The New Shares acquired by exercising the BCE are
registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 
 The New Shares shall be subject to all provisions of the
by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 

These New Shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”, complied by the Beneficiary. 
 VI - TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE (MARCH 2011)
TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by

  
 - 7/8 -

 
the Beneficiary is equal to the difference between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code) applicable to the first euro obtained
as a capital gain. 
 The proportional rate applicable is 19%, except if at the date of the transfer of his/her shares the Beneficiary has
performed his/her duties for less than three years, then the gain is subject to a 30% tax rate. 
 In addition to these proportional
rates, the following social security contributions apply for a total amount of 12,3% and are divided as follows : 
  

	 	•	 	 CSG 1: 8,2 % 

  

	 	•	 	 CRDS 2: 0,5 % 

  

	 	•	 	 social charges : 2,3 % 

  

	 	•	 	 contribution to the national solidarity fund for autonomy 0,3 % 

 

	 	•	 	 contribution for social allowances (RSA) : 1,1 % 

 Therefore, the total amount of taxation rate is of 31,3% or of 42,3% according to the term of the Beneficiary’s office in the Company. 

The company SEQUANS COMMUNICATIONS indicates that the information stipulated in this article VI-1 must be regularly updated according to the evolution of
the applicable legal and regulatory provisions. It is up to the Beneficiaries to proceed to this update under their own responsibility, the Company SEQUANS COMMUNICATIONS shall have no obligation to provide advice and/or assistance in this regard.

 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES
DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for:

  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 
  

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
 - 8/8 -

 SEQUANS COMMUNICATIONS 

Société anonyme with a share capital of 554.400,26 Euros 

Registered office : 19 Le Parvis de Paris La Défense – 92800 PUTEAUX 

Trade Register N° : 450 249 677 Nanterre 
 Regulation 
  

 
 Founders
Warrant Granting Plan. 2011-2 

 - SUMMARY - 
 I - DEFINITION OF THE FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 
 II - LEGAL FRAMEWORK FOR
THE PLAN 
 III - DESCRIPTION OF THE PLAN 
  

	 	•	 	 Granting of the BCE 

  

	 	•	 	 Terms and conditions of the BCE 

  

	 	•	 	 Beneficiary termination of services with the Company 

  

	 	•	 	 Determination of the exercise price of the BCE 

  

	 	•	 	 Protection of the rights of the Beneficiaries during the exercise period of the BCE 

IV - TERMS AND CONDITIONS FOR EXERCISING BCE 
  

	 	•	 	 Suspension of the rights to exercise the BCE 

  

	 	•	 	 Procedures and conditions for exercising the BCE 

 V - FEATURES OF SHARES SUBSCRIBED 
  

	 	•	 	 Delivery and form of shares 

  

	 	•	 	 Possession rights 

 VI -
TAX PROVISIONS 

  
 2 

 I – DEFINITION OF FOUNDERS WARRANT SUBSCRIPTION PLAN (BCE) 

In order to reward its employees and managers, SEQUANS COMMUNICATIONS wishes to set up a system enabling them to share its growth. 

A Founders Warrant (BCE) subscription plan is a mechanism by which a company offers to its employees and/or its managers (subject to employees taxation
regime), the possibility to subscribe for a BCE for free which subsequent exercise allows to subscribe for new shares during a certain period, at a price set on the date the BCE are granted, and that remains fixed during the entire period.

 These BCE offer to its beneficiaries the possibility to realize a profit in case of an increase in value of the Company security between the
date the BCE are granted and the date the share is subscribed by exercise of the BCE. 
 The beneficiaries participate in their Company’s
performance trough the evolution in value of the shares before even becoming effectively shareholder of the company by exercising the BCE . 

This plan is particularly designated to motivate the beneficiaries in order to ensure the public offering of the company at the best conditions.

 Furthermore, the financial benefit obtained by exercising the BCE and by a subsequent sale of the shares is subject to a specific tax
treatment. 
 II - LEGAL FRAMEWORK FOR THE PLAN 
 This mechanism has been set up by the law of finance of 1998 n°– n°97-1269 dated December 30 1997, amended by the law of finance of 1999 – n°98-1266 dated December 30, 1998
-, the law n°99-587 dated July 12, 1999, the law n°2001-420 dated May 15, 2001 and the law n°2003-706 dated August 1st 2003, the law n°2008-776 dated August 4, 2008. 

This mechanism is also governed by article 163 bis G of the French Tax Code and by the Decree n°98-557 dated July 1st, 1998. 

The company SEQUANS COMMUNICATIONS meets all the requirements required by the dispositions mentioned above in order to set up a BCE plan, bearing in mind
that : 
  

	 	•	 	 It is incorporated with the Trade and Companies Registry since at least 15 years 

 

	 	•	 	 It is subject to French corporate taxation 

  

	 	•	 	 At least 25% of its share capital is held directly by individuals, being specified that in order to determine this threshold, it is not taken
into account participations held by : 

  

	 	(i)	regional development companies (RDC), venture capital companies (VCC), innovation finance companies (IFC) set forth in articles 208, 1°ter, 208, 3°septies and
39 quinquies A, 2°, b) of the French Tax Code, 

  

	 	(ii)	venture capital mutual fund (VCMF) and innovation mutual investment fund (IMIF) set forth in articles 163 quinquies B, I and 199 terdecies-o A, VI, 1 of the French Tax
Code, 

  

	 	(iii)	local investment fund set forth in article L.241-41-1 of the French Monetary and Financial Code. 

 The shareholders in an ordinary and extraordinary general shareholders’ meeting held on
March 8, 2011, voted in favour of a resolution for the issuance of BCE that cannot give the right to an amount that exceed 3,500,000 new shares of a nominal value of 0.01 euro (or 1,750,000 new shares of a nominal value of 0.02 euro,
starting at the effective date of the reverse split of the shares of the Company). 
 The aforesaid general meeting determined the modalities of
determination of the price of the security to be subscribed by exercising each BCE and decided that this price will be set by the Board of directors at the market value of the shares of the Company applicable at the date the BCE were granted,
following the objective methods applicable for shares appraisal (including, if applicable, the reference to the quoted price of the shares of the Company) and, if it judges necessary, with the assistance of independent appraisal agencies.

 The aforesaid general meeting also granted to the Board of Directors the power to grant such BCE, in one or several times, including the
power to determine the beneficiaries of the BCE and the number of BCE to be granted to each of them, with the suppression of shareholders’ preemptive subscription right – to increase the share capital for a maximum amount equal to the
number of BCE granted, to record / acknowledge the successive increases in share capital resulting from the exercise of the BCE, and to carry out all formalities required as a result thereof. 
 Pursuant to this grant of authority, and partially using the authorization it has been granted, the Board of Directors, in a meeting held on March 8, 2011, has adopted this plan and adopted
the terms and conditions applicable to this BCE plan hereinafter “the BCE 2011-2 Plan”, in compliance with the principles decided by the aforementioned ordinary and extraordinary general shareholders’ meeting and the applicable
statutory provisions. 
 III - DESCRIPTION OF THE PLAN 
 The beneficiaries (hereinafter the “Beneficiaries”) of the BCE 2011-2 Plan’s have been approved by the Company’s Board of Directors. 

III-1. Granting of the BCE 
 The
BCE are granted free of charge to each Beneficiary. 
 The number of BCE granted to each Beneficiary and the subscription price upon exercise of
these BCE (as defined under Section III-4 hereinafter) shall be indicated in the Individual Notification Letter sent to him/her by the Chairman which shall constitute a schedule to this regulation. 

The exercise of each BCE entitles its holder to subscribe for one new class A preferred share of the Company of a nominal value of 0.01 € (or two
(2) BCE entitles its holder to subscribe to one (1) ordinary share of a nominal value of 0.02 € starting at the effective date of the conversion of the class A preferred shares in ordinary shares and of the reverse split of the shares
of the Company) (hereinafter referred as a “New Share”). 
 This number of shares cannot be modified during the BCE period of
validity, except in the event of an adjustment in the subscription price in accordance with the requirements provided by law (see section III-4. hereinafter). 
 Within a period of seven (7) days following the receipt of the Individual Letter of Notification 

  
 - 4/8 -

 
informing him/her that he/she has been granted BCE, the Beneficiary undertakes to return to the Company 
 (i) a copy of this regulation, 
 (ii) a copy of the Individual Letter of Notification 

(iii) a copy of the “CONTRACTUAL UNDERTAKING” attached to the said letter, 

after the Beneficiary has duly executed the said copies and acknowledged that the Individual Notification Letter and the Contractual Undertaking are part
of this plan. 
 Failure to comply with this formality within the applicable period shall render the granted BCE immediately and automatically
void. 
 III-2. Terms and conditions of the BCE 
 BCE are irrevocably granted for a period of 10 years as from the date they have been granted by the Board of Directors. 
 As a result of the granting of the BCE, the pre-emptive right of shareholders to subscribe for the new shares to be issued as the said BCE are exercised will be suppressed in favour of the Beneficiaries.

 This BCE cannot be transferred. 

The BCE must be exercised within the aforementioned maximum period of ten years, any BCE not exercised before expiration of this period will be
automatically void and devoid of validity. 
 The Beneficiary must respect the following calendar  : 

 

	 	•	 	 The Beneficiary shall exercise 25% of the BCE granted to him/her after the expiration of the 12 months period following the effective date of the
initial public offering of the Company that should take place at the latest at the date of the ordinary general meeting of the Company to be held to approve the annual accounts for the fiscal year to be ended in December 31, 2011 (hereinafter
referred as the “IPO”); 

  

	 	•	 	 The Beneficiary shall then exercise the outstanding amount of his/her BCE , at the rate of
1/36e per month, within the period from the 13th and the 48th month following the IPO. 

 It is expressly stipulated that in the absence of the IPO, the BCE previously granted to the Beneficiaries shall be automatically void the day following the ordinary general meeting of the Company to be
held to approve the annual accounts for the fiscal year to be ended in December 31, 2011. 
 III-3. Beneficiary termination of
services with the Company 
 In case of termination of the Beneficiary services with SEQUANS COMMUNICATIONS, whether as an employee or a
company officer, due to resignation, redundancy, dismissal, incapacity or death, regardless of the reason, the said Beneficiary looses all rights with regard to the BCE yet not exercisable at the end of termination of his/her duties regarding the
exercise calendar set forth in the above article III-2. 

  
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 However, he/she retains the right to exercise the BCE that became exercisable and that have not yet been
exercised provided that the Beneficiary exercises his/her BCE within a period of 30 days following the actual termination of his/her duties. 

In the event of incapacity, such period shall be extended to 90 days. 
 In the event of death, the Beneficiary’s heirs or beneficiaries shall beneficiate of a period extended to 6 months. 
 After expiration of the periods aforementioned, the Beneficiary, his/her heirs or beneficiaries lose irrevocably all rights with regard to unexercised BCE. 

III-4. Determination of the exercise price of the BCE 
 The subscription price of the New Shares to be issued by exercising the BCE is set at the market value of the shares of the Company applicable at the date the BCE were granted, value to be set and
approved by the Board of directors – within the limits permitted by the applicable legal and regulatory provisions - following the objective methods applicable for shares appraisal (including, if applicable, the reference to the quoted price of
the shares of the Company) and, if it judges necessary, with the assistance of independent appraisal agencies. 
 This subscription price is
mentioned in the Individual Notification Letter. This price may not be changed during the BCE’s period of validity, except in the event of adjustments in accordance with legal provisions. 

III-5. Protection of the rights of the Beneficiaries during the exercise period 
 During the period of exercise of the BCE and as far as the Beneficiary has not exercised all the BCE granted to him/her by the Company, the Company commit to maintain the Beneficiaries’ rights, in
compliance with the provisions of article L. 228-99 of the Commercial Code. 
 IV – TERMS AND CONDITIONS FOR EXERCISING
BCE  
 IV-1. Suspension of the rights to exercise the BCE 
 If necessary, the Board of Directors may suspend the right to exercise the BCE. In particular, this suspension may be ordered whenever a transaction concerning SEQUANS COMMUNICATIONS’ share capital
requires knowing in advance the exact number of shares that make up the share capital or in the event of the carrying out of one of the financial transactions requiring an adjustment. 
 In such case, SEQUANS COMMUNICATIONS shall inform the Beneficiaries of the BCE, indicating the date of the suspension and the date on which the right to exercise the BCE will be re-established. Such
suspension may not exceed 3 months. 
 If the right to exercise a BCE expires during a period of suspension, the period of exercise of the BCE
shall be extended by 3 months. 

  
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 IV-2. Procedure and conditions for exercising BCE 

All requests for exercise of the BCE, documented by the signature of a subscription certificate specific to the BCE 2011-2 plan, shall be sent to SEQUANS
COMMUNICATIONS, and must be accompanied by a check made to the Company’s order for an amount corresponding to the number of shares to be subscribed, shares subscribed must be fully paid up in cash at the time of subscription, except payment by
compensation with a liquidated and due debt on the Company. 
 Failure to do so renders the subscription null and void. 

V - FEATURES OF SHARES SUBSCRIBED 
 V-1. Delivery and form of shares 
 The New Shares acquired by exercising the BCE are
registered in the books of SEQUANS COMMUNICATIONS as registered shares, which meets the statutory requirements for benefiting from the applicable favourable tax treatment. 
 V-2. Possession rights 
 The New Shares shall be subject to all provisions of the
by-laws and shall enjoy all rights pertaining to the shares of such class as of the date of completion of the share capital increase. 

These New Shares shall be immediately transferable, in compliance with the “CONTRACTUAL
UNDERTAKING”, complied by the Beneficiary. 
 VI - TAX PROVISIONS 

VI-1. THE TAX PROVISIONS CURRENTLY APPLICABLE (MARCH 2011)
TO BENEFICIARIES WHO ARE RESIDING IN FRANCE ARE EXPLAINED BELOW. 

In the event of a transfer of the shares subscribed following exercise of the BCE , the gain realised by the Beneficiary is equal to the difference
between the sale price of the share and their acquisition price. 
 This gain is imposed in accordance with the tax treatment of capital gain
realised on the sale of securities (articles 92 B, 92 J, 160, 200 A2 of the French Tax Code) applicable to the first euro obtained as a capital gain. 
 The proportional rate applicable is 19%, except if at the date of the transfer of his/her shares the Beneficiary has performed his/her duties for less than three years, then the gain is subject to
a 30% tax rate. 
 In addition to these proportional rates, the following social security contributions apply for a total amount of 12,3% and
are divided as follows : 

  
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	 	•	 	 CSG 1: 8,2 % 

  

	 	•	 	 CRDS 2: 0,5 % 

  

	 	•	 	 social charges : 2,3 % 

  

	 	•	 	 contribution to the national solidarity fund for autonomy 0,3 % 

 

	 	•	 	 contribution for social allowances (RSA) : 1,1 % 

 Therefore, the total amount of taxation rate is of 31,3% or of 42,3% according to the term of the Beneficiary’s office in the Company. 

The company SEQUANS COMMUNICATIONS indicates that the information stipulated in this article VI-1 must be regularly updated according to the evolution of
the applicable legal and regulatory provisions. It is up to the Beneficiaries to proceed to this update under their own responsibility, the Company SEQUANS COMMUNICATIONS shall have no obligation to provide advice and/or assistance in this regard.

 VI-2. TAX PROVISIONS APPLICABLE TO BENEFICIARIES
DOMICILED ABROAD. 
 Beneficiaries domiciled abroad are themselves solely responsible for:

  

	 	•	 	 Determining the tax provisions applicable to gains resulting from (i) holding the shares issued as a result of the exercise of the BCE, and
(ii) the sale of such shares; 

  

	 	•	 	 Paying all taxes and contributions due as a result. 

 The company Sequans Communications shall have no obligation to provide advice and/or assistance in this regard. 

 

	1	 CSG = “contribution sociale généralisée”: a French social security tax. 

	2	 CRDS = “contribution au remboursement de la dette sociale”: another French social security tax. 

  
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