THE British investment firm Candover is closing in on a deal to buy one of the leading theme-park operators in Europe for more than €900m (£590m).

Candover is thought to have edged ahead of rival private-equity firm Apax Partners in the bidding for Parques Reunidos, which runs 22 theme parks in six countries. The two are both thought to have submitted offers for the business last week, and a deal could be announced in the next few days.

Candover, whose other investments include a stake in Gala-Coral, the gaming group, is said to be bidding with a trade partner in an effort to strengthen its hand. The identity of the partner is not clear, although there are suggestions that it is working with Bourne Leisure, the privately owned holiday firm in which it has previously invested.

Tussauds Group, owner of the famous waxworks attraction, had also been working on a bid for Spanish-based Parques, but pulled out earlier this month.

Parques’ main shareholder, Advent International, a private-equity investor, hired UBS, the investment bank, and Socios Financieros, a Spanish adviser, last October to carry out a review of the company’s strategic options.

Advent has owned Parques since December 2003 when it backed a €173m management buyout. That deal marked the first time a quoted Spanish company had been taken private by a buyout firm. The management of Parques owns about 10% of the shares.

Following the original deal, Advent invested in a series of follow-up acquisitions to help grow the company. Last summer it bought Marinelife, a sea-life centre in France, and Mirabilandia, one of the largest theme parks in Italy.

Parques’ operations extend across a range of attractions, including zoos, theme parks and water-slides. Although most of its venues are in Spain, it also has a presence in Belgium, France, Italy, Norway and Argentina. The group has annual sales of close to €200m.

A sale would mark the latest in a wave of mergers and acquisitions to affect Europe’s attractions companies.

Blackstone, the US buyout firm, has grown into one of the Continent’s largest players by snapping up Merlin Entertainments, Legoland, and Gardaland, while Dubai International Capital, a Middle Eastern investor, bought Tussauds Group in 2005.