This doesn’t seem like a bad thing at all, allows the french company to further develop independently while still being locally owned... maybe bad for the owners but not necessarily for French society
It is a big handicap building a small company in tech knowing the largest company in the space which does a large number of acquisitions will probably not be interested in you despite how good your work is.
Depends if your goal is to sell ASAP. I know that in my part of Europe the government agencies that support small businesses with grants etc hate when they sell to foreign competitors as most likely outcome is IP transfer and breakup of a potential competitor. If these policies select for those unwilling to do this that’s fine as far as they’re concerned.