Seller Dubai International Capital LLC kept a 20% stake in the company.

Now that the transaction has closed, Merlin will operate its more than 50 attractions and four hotels through a new divisional structure that includes resort theme parks and the midway attractions. Chief executive Nick Varney will oversee both sectors. Under the new order, Gardaland, Alton Towers, Thorpe Park, Heide Park and Chessington World of Adventures will all be a part of the resort theme parks; while Madame Tussauds, Sea Life, London Eye, Dungeons, Warwick Castle, Legoland Discovery Centre, Earth Explorer; and Legoland Parks will be part of the midway attractions.

"The new Merlin Entertainments Group starts as an exceptional leisure business. It has an enviable combination of brands, expertise and resources second to none, not just in visitor attractions, but also in the leisure sector as a whole. We now have a clear opportunity to build on this," Varney says in a statement. The firm's strategy includes further developing existing attractions, developing new midway attractions in Europe and the US, and connecting attractions and hotels to create a resort-like destination.

"I believe that we now have a unique opportunity to become the world leader in location based, branded, quality family entertainment, and, with the support of our investors, my colleagues and I are entirely committed to achieving that objective," Varney says.

Goldman Sachs, HVB and Lehman Brothers provided the debt financing for the transaction, and company officials say the combined companies will be refinanced soon. Goldman Sachs advised Blackstone, while Lehman Brothers and UBS advised Merlin and Citigroup advised DIC and Tussauds.

Merlin was purchased by Blackstone in May 2005 from Hermes Private Equity for more than $200 million. Under Blackstone's management Merlin bought the Legoland theme parks in August 2005 and Gardaland, Italy's largest theme park, in October 2006.