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Leisure, gaming and gambling

Lego taking some of its bricks back in £200m deal

Lego is taking back some of its own bricks.

The Danish toy company has struck a £200 million deal to acquire 29 Lego- and Legoland-branded “discovery centres” from Merlin Entertainments, the theme park operator behind Alton Towers and Madame Tussauds.

The family-friendly venues, which combine interactive building areas, creative workshops and retail outlets, attract about five million visitors each year.

Spread across nine countries, including two in the UK, most of the centres are based in the United States.

The transaction, expected to close by year-end, does not cover Legoland Resorts such as Windsor, which will remain under Merlin’s management through a licensing agreement.

Lego said bringing the centres in-house would expand its global retail presence and strengthen its hands-on brand experiences. For Merlin, the move frees up resources to focus on its larger attractions portfolio.

Both companies described the transfer as a natural evolution of their two-decade partnership.

Merlin is 50% owned by Kirkbi AG, the investment vehicle of Lego's founding family, after being taken private in a £4.8 billion deal by a consortium that also included private equity giant Blackstone and the Canada Pension Plan Investment Board.

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