The Mid-Market Surge: How PE Firms Are Shaping GCC Growth

In recent years, operational excellence and strategic agility have become non-negotiable for companies. In this transformed entrepreneurial landscape, Global Capability Centers (GCCs) are no longer exclusive to larger corporations. This new wave of momentum is driven not by size, but by strategy. 

Mid-market companies, often backed by private equity (PE) firms, are now accelerating GCC adoption to unlock value, scale efficiently, and build future-ready operations. India is emerging as a strategic hotspot for middle market PE firms (with revenue between $100 million to $5 Billion) looking to establish Global Capability Centers (GCCs). This segment is on track for accelerated momentum, with revenue growth projected at 15–20% between 2024 and 2026. 

The Shift from Enterprise GCCs to Mid-Market Players 

While enterprise GCCs benefited from an early-mover advantage, they are now reaching a stage of maturity—presenting an opportunity to recalibrate strategies, enhance operational efficiency, and deliver elevated business value. In contrast, top middle-market PE firms are stepping in with fresh ambitions and flexible models.

• Mid-Market GCCs Are Emerging as Strategic Assets: Large enterprises possess the capital and internal capability to build and manage GCCs independently. On the other hand, PE-backed mid-market firms take a more strategic and pragmatic path. With limited in-house bandwidth and a sharper focus on speed-to-value, these firms lean into alternative models such as build-operate-transfer (BOT) and partner-led GCCs. The goal is to reduce market entry risk, optimize upfront investment, and tap into local expertise from day one. 

• Role of Private Equity in Transforming GCC Operations: Unlike traditional enterprise GCCs, where transformation often unfolds over years, the PE approach is sharply focused on acceleration and impact. With tighter timelines and ROI expectations, PE sponsors are pushing for agile, cost-effective setups that deliver measurable value fast.  

Growth of Mid-Market GCCs: Key Trends and Statistics 

As private equity firms recognize the strategic value of global capability centers, growth in this segment is accelerating at an unprecedented pace. This is particularly true for India, which provides a robust ecosystem for sustainable growth to every GCC in a size-agnostic manner. 

• 60% Focus on Mid-Market, Half PE-Backed 

• Mid-market firms now account for 45% of India’s 1,760 active GCCs, employing over 220,000 professionals. 

• Over 120 new mid-market GCCs are expected to be established by 2025, reflecting a strong and sustained growth trajectory. 

• Revenue from mid-market GCCs is projected to rise from $6.5 billion in 2024 to $7.5–7.8 billion by 2026, underscoring increasing investment and operational scale. 

• Mid-market firms accounted for 21% of all new GCCs in 2023, surging to 42% in 2024.

Benefits for Middle Market PE Firms 

Middle-market private equity firms operate in a high-stakes environment where value creation needs to be swift, scalable, and sustainable. For these portfolio companies, Global Capability Centers (GCCs) are emerging as a powerful lever of growth: 

• Cost Optimisation: GCCs help PE companies reduce operational costs through centralised delivery, automation, and access to offshore talent. 

• Scalable Growth: With access to diverse, skilled talent across global locations, GCCs enable them to scale quickly. 

• Innovation Catalyst: GCCs drive transformation through AI, analytics, and automation, and help firms build future-ready capabilities. 

Why PE Firms Need GCCs to Compete and Scale 

In today’s hyper-competitive landscape, PE portfolio firms require operational resilience and excellence for value creation and GCCs are proving a critical tool in achieving this.

• Operational Resilience Framework for PE Portfolios: A well-designed Operational Resilience Framework enables portfolio companies to anticipate disruption, respond with agility, and recover stronger. Establishing GCCs allows PE firms to consolidate critical operations, standardize processes, and tap into global talent pools. This ensures business continuity regardless of any disruptions.

• Leveraging GCCs for Scalable Growth: Backed by private equity support, a clear operational preference is taking shape—favouring asset-light, modular GCC models that deliver plug-and-play scalability. This strategy empowers mid-market firms to scale swiftly, maintain operational agility, and navigate an increasingly dynamic and competitive global landscape with efficiency. 

Future Outlook for Mid-Market GCCs 

A top research firms predicts that 75% of the 1,200–1,250 new GCCs expected in India over the next five years will be driven by small and mid-sized enterprises—a dramatic reshaping of the GCC demographic. 

Top Middle Market PE Firms Leading the Charge 

Building Operational Resiliency for Long-Term Success 

Resiliency is not just built in a moment, but it is required to be engineered into the operating model. GCCs are playing a pivotal role in centralizing operations, diversifying delivery, and embedding scalability while reducing costs and ensuring service continuity across borders. 

As mid-market PE firms reshape the GCC landscape, the opportunity to create leaner, faster, and more resilient portfolio operations has never been greater. With India’s GCC ecosystem expanding rapidly, the time is now to explore how portfolio companies can plug into world-class capabilities.  

At ANSR, our expert teams help firms launch scalable, future-ready centers that deliver measurable value. Schedule a consultation with ANSR and discover how we can help your firm unlock value and scale efficiently.