PR - Non-US firms dominate the 2025 HEC Paris – Dow Jones Small Cap Buyout Private Equity Ranking for the first time

Developed by HEC Paris Professor Oliver Gottschalg, this year’s ranking demonstrates popularity of firms with a diversified sector approach and includes a Central European firm among the top 20 for the first time.

The results of the 2025 edition of the HEC-Dow Jones Small Cap Buyout Performance Ranking highlight a changing landscape in private equity (PE) with new regions dominating top spots and a growing appetite for diversity regarding sector approach and firm tenure. For the first time, more than 50% of the firms (PE) in the ranking’s top twenty are from outside the US, with Renovus, a US firm focused on education, healthcare and tech, taking the first spot.

Genesis Capital Equity, a Prague-based firm specialising in growth-orientated and lower mid-market consumer and retail investments, took 17th position in the first-ever ranking appearance of a PE firm from Central and Eastern Europe (CEE). 

The ranking looks at the small cap segment of the market which includes firms raising between USD 100 million and USD 1 billion. Sole Source Capital, from the US, took second position and GMT Communications Partners, a UK-based firm specialising in mid-market tech investments, third. GMT is the only non-US company in the top five, suggesting continued US domination but rising competition globally.

As well as geographic range, the ranking highlights a growing movement away from sector-specific approaches. Motion Equity Partners came in sixth place and has invested in tech, healthcare, manufacturing and consulting services, while Clarion Capital Partners, which ranked seventh, has invested across finance, healthcare, education, tech and media. While some firms have a specific remit like Chicago Pacific and healthcare or The Growth Fund and financial services, the vast majority of investment strategies represented by the firms in the ranking leverage a diversified sector approach.

“When it comes to the investments themselves, the ranking suggests a preference for a multifaceted approach”, says Professor Gottschalg, author of the ranking. “Indeed, this challenges the notion that private equity is trending towards specialisation.” 

The study also showcases a balance between mature and up-and-coming firms. On average, firms are over 20 years old. However, six have been actively investing since 2000 and five which have been launched since 2010, suggesting that a significant proportion of the small cap market is being driven by new and up-and-coming players in different regions.  

“This year’s small cap buyout ranking is a significant reflection of rising levels of competition across the globe,” says Professor Gottschalg. “The fact that five of the top twenty were launched since 2010 also demonstrates the fast-paced, fierce competition which is increasingly defining the entire investment sector of the future”. 
 

Top 20 Small Cap Buyout Firms out of over 695 PE Firms

The study analyses small cap market firms from 2012 and 2021. To ensure a robust evaluation, Prof. Gottschalg studied a sample of 695 PE firms and 1,439 funds representing an aggregate equity volume of $2.5 trillion. The performance score is derived from a blend of measures including Internal Rate of Return (IRR), DPI (cash-only return multiple) and TVPI (a return multiple considering accounting values of ongoing investments). 

Since 2009, HEC Paris and Dow Jones have joined forces to publish regular rankings of PE firms based on their historic performance and expected future competitiveness respectively.