Aug 27, 2025

As investor focus shifts from speculative valuations to proven performance, this new measure of success reflects a wider shift across fast-growth tech companies towards sustainable growth and financial discipline. As more companies stay private for longer, the focus is on driving economic prosperity through improved productivity, job creation, and tax contributions. Thoroughbreds 100 EMEA by numbers: • Collectively generated $168 billion in combined revenue over the past year • Provide 367,000 jobs across the region • Fintech is the most dominant category (30) - including Revolut (UK), Wise (UK) and Trade Republic (Germany) • Enterprise Software is second (25) - including Mistral AI (France) and Bending Spoons (Italy) - and Health & Biotech is third (14) with Alan (France) and Flo Health (UK) • UK is the lead country for Thoroughbreds 100 (22), followed by Germany (17) • Combined enterprise value of $673 billion, delivering growth and productivity The Thoroughbreds 100 EMEA represent the companies with the most momentum in 2025, out of over 700 Thoroughbreds across EMEA, with 38 created in the last two years alone. Thoroughbreds now account for 27% of EMEA’s $5.6 trillion tech ecosystem. Power Law Ranking: putting revenue before valuation As companies reaching $100m in annual revenue become the benchmark of progress, Dealroom has published its annual Power Law Investor Ranking for EMEA, with Phoenix Court, home of LocalGlobe, Latitude and Solar, topping the list. The ranking now includes Thoroughbreds ($100m+ revenues) and Colts ($25-100m revenues) alongside Unicorns. Investors are ranked by the number of high-growth companies in their portfolios, with additional weight for those backing them earliest at Seed and Series A, when data is scarce and risk is highest.* Phoenix Court is recognised as the region’s #1 investor in Thoroughbreds, Colts, and Unicorns for consistently backing high-revenue tech companies from Seed stage and in the top 0.01% of funds globally. Index Ventures secured second overall, while Point Nine, the Germany-based Seed investor, achieved third position. Phoenix Court and Index Ventures are the only European funds in the global top 20, led by Y Combinator and Sequoia. Yoram Wijngaarde, Founder and CEO of Dealroom, said: “Venture has long been measured by promise, but performance comes from proof. That’s why our 2025 ranking includes a focus on Thoroughbreds: companies generating $100M+ in ARR, rooted in strong customer demand and lasting value. These aren’t speculative bets; they’re regional assets. By prioritising tangible impact and sustainable growth, we offer unprecedented clarity for founders, LPs, and policymakers on where resilience lies and the investors that are truly bending the curve. Europe is no longer merely emerging; it is a demonstrable engine room for national, regional, and global champions." Saul Klein, Co-founder and Executive Chair at Phoenix Court, said: "For over a decade, venture capital has been gripped by unicorns. But the real test of a company is not valuation, but fundamentals. The definition of success has changed. Europe has the raw ingredients to create the companies that matter, and it's encouraging to see 38 new Thoroughbreds created in the past two years. The challenge is not building them, but scaling them. As we mark ten years since founding Phoenix Court, we’ve seen what it takes to back long-term winners from the earliest stages via LocalGlobe through to our later stage funds Latitude and Solar. What’s needed now in Europe is the long-term conviction at growth - so that the value created here stays here and compounds for the next generation.” The Scale-Up Funding Gap: a major investment opportunity Within EMEA, the "New Palo Alto" region - an interconnected network of innovation ecosystems within a five-hour train ride of London (including London, Paris, Amsterdam and Brussels) is the most productive region for Thoroughbreds in EMEA, home to over 250 Thoroughbreds and nearly 800 Colts, underlining its position as the world's second most productive innovation cluster, surpassed only by the Bay Area. Seven of Europe's 10 most valuable tech companies founded after 1990 originated from this ecosystem, including Booking.com, ASML, Adyen, Arm, Revolut, Tide, Wise, and Monzo. Despite this robust growth, the EMEA region faces an estimated $57 billion scale-up funding gap according to Dealroom, compared to the Bay Area. While Europe consistently nurtures innovative companies, long-term value creation could be significantly accelerated with a more plentiful supply of local capital at later growth stages. This represents a substantial, largely unaddressed investment opportunity for asset allocators and institutional investors, with nearly 2,000 venture-backed companies in EMEA now generating revenues of $25 million or more.