The Tussauds Group
| Company type | Private company |
|---|---|
| Industry | Visitor attractions |
| Founder | Marie Tussaud (origin traced back to Philippe Curtius) |
| Defunct | 2007 |
| Fate | Acquired by The Blackstone Group and merged with Merlin Entertainments |
| Headquarters | London , United Kingdom |
Area served | United Kingdom, Europe, United States |
Key people | Peter Phillipson (CEO at time of merger) |
| Products | Madame Tussauds, Heide Park Resort, The London Eye, Warwick Castle, Alton Towers, Thorpe Park, Chessington World of Adventures |
| Parent | The Blackstone Group (after 2007) |
The Tussauds Group operated as a company specializing in visitor attractions, headquartered in London, United Kingdom. Its collection of venues featured the renowned Madame Tussauds wax museum, Germany's Heide Park Resort, The London Eye, Warwick Castle, Alton Towers, Thorpe Park, and Chessington World of Adventures.
In 2007, the firm was purchased by The Blackstone Group and subsequently integrated with Merlin Entertainments.
The 1700s
The origins trace back to physician Philippe Curtius, who initially crafted wax organs and anatomical models before expanding his work to include prominent figures from society. Exhibiting his creations publicly in Berne, Switzerland, he gained the interest of the French royal family, prompting his relocation to Paris in 1765. Alongside him came Marie Grosholtz, who became his apprentice.
Marie earned distinction under Curtius by sculpting portraits of notable personalities such as Rousseau and Voltaire, which led to her appointment as an instructor at Versailles. In 1795, she wed François Tussaud. Following the 1789 French Revolution, she produced death masks of previous patrons. Upon Curtius’ passing in 1794, she inherited his assets, including workshops and properties.
The 1800s
Due to international fascination with the French Revolution, Marie Tussaud toured England exhibiting her wax figures. War conditions prevented her return to France, leading her to travel across the British Isles before acquiring her first exhibition space on London's Baker Street in 1835, where she both displayed and created wax models. After her death in 1850, ownership transferred to her sons, with subsequent generations relocating the business to a permanent location on Marylebone Road.
The 1900s
Madame Tussauds became a limited company in 1926. Pursuing global expansion, it launched its initial overseas exhibition in Amsterdam during the 1960s and later moved this exhibit to Dam Square in 1991. The company expanded by acquiring sites such as Wookey Hole Caves and Mill (Somerset), Tolgus tin mine (Cornwall), and Warwick Castle.
In the early 1980s, Madame Tussauds partnered with S. Pearson and Son (now Pearson PLC) to purchase Chessington Zoo, transforming it into Chessington World of Adventures, which debuted in 1987 and significantly boosted attendance figures.
The group divested Wookey Hole caves in 1989 while inaugurating the music-themed Rock Circus at London Pavilion that same year. In 1990, it acquired Alton Towers for £60 million and invested £20 million into hotel development by 1996. During this decade, the London Madame Tussauds venue also underwent £1 million worth of refurbishment. Growth necessitated relocating headquarters to a larger facility in 1992.
Travelling exhibitions were reintroduced by Madame Tussauds in 1997, beginning with shows in Melbourne and Sydney, followed by Singapore (1999), and Hong Kong (2000), where a permanent display was established at the Peak Tower.
The company entered the European market by purchasing a 40% share in Spain’s PortAventura Park, a £300 million project opened in 1995 attracting approximately 2.7 million visitors yearly. This stake was sold in 1998 to concentrate on expansion within the UK, including acquiring Thorpe Park that same year.
In the United States, Madame Tussauds launched a venue in Las Vegas at the Venetian Hotel and Casino in 1999, followed by a New York City location on 42nd Street in 2000.
After twenty years under Pearson ownership, the Tussauds Group was sold to Charterhouse Development Capital in 1999. The new management introduced changes designed to enhance profitability and accelerate expansion.
The 2000s
In 2000, Tussauds acquired a one-third share in the London Eye, partnering with British Airways and Marks Barfield. Under Tussauds’ management, the attraction rapidly became one of the most visited sites in the UK.
Expanding further into Europe, Tussauds purchased Heide Park in Soltau, Germany, in 2002, enhancing its standing among premier attraction operators. That same year, the company decided to close the underperforming Rock Circus exhibition located in London.
Supported by Charterhouse Development Capital, Tussauds committed £300 million to its portfolio, resulting in profits rising by £185 million by 2002. Part of a £100 million investment strategy included opening a £40 million themed hotel at Alton Towers—Splash Landings—in 2003. Additionally, Tussauds aimed to increase its stake in the London Eye by acquiring British Airways’ shares.
In 2004, shareholder Marks Barfield accused Tussauds of hindering refinancing efforts to secure full ownership of the London Eye. Although the company reported trading profits, substantial debt incurred from a £56 million loan from British Airways had escalated to approximately £130 million, restricting funds available for development. Tussauds refuted claims of blocking transactions and stated it had offered to purchase other shareholders’ stakes to better manage debt repayment.
By November 2005, Tussauds completed the purchase of British Airways’ London Eye shares for £95 million; British Airways preferred this proposal over that from Marks Barfield. Early in 2006, discussions commenced to acquire the remaining 33% stake from Marks Barfield for up to £80 million.
In 2005, The Tussauds Group was acquired by Dubai International Capital for £800 million ($1.5 billion). Subsequently, in May 2007, The Blackstone Group purchased Tussauds for $1.9 billion and merged it with Merlin Entertainments, with Dubai International Capital retaining a 20% interest in Merlin. This merger resulted in The Tussauds Group ceasing to exist as a separate entity. Merlin’s CEO Nick Varney noted that combining the two companies would enhance their global footprint and operational capabilities. Meanwhile, Tussauds CEO Peter Phillipson emphasized that the merger would facilitate theme park development and broaden Madame Tussauds’ international reach.
On 17 July 2007, Madame Tussauds was sold through a sale and leaseback deal to investor Nick Leslau and Prestbury, generating capital for further investments and debt reduction. While Prestbury holds ownership of the properties, Merlin operates them under renewable leases lasting 35 years.