Ravenwood Fair developer Lolapps and Ravenwood Fair publisher 6waves announced a merger today that gives the combined company over 39.2 million monthly active and 4.4 million daily users, according to our traffic tracking service, AppData.

The company will now be called 6waves Lolapps with Lolapps CEO Arjun Sethi (pictured below) reporting to 6waves CEO Rex Ng (pictured above). Both Sethi and Ng now sit on a six-member executive team comprised of half 6waves members, half Lolapps members. For the most part, development and publishing operations will function independently at each studio, while a deeper integration is planned for international release strategy and licensing agreements for Lolapps’ recently-acquired Fliso game engine.

“We still want to keep things pretty independent,” Ng tells ISG. “Lolapps has a pretty full [release schedule] for the year, so we don’t want to [disrupt] that. We’re still deciding whether or not to physically join offices.”

“We’re still working out what’s going to happen with Fliso [licensing],” Sethi adds. He says that by joining forces, 6waves Lolapps now has a clear advantage over competitors in the rapidly expanding social games publishing space.

The Fliso engine is a Flash graphics engine that allows developers to create 3D environments on an isometric field, which is the standard view for most Facebook games. In the engine acquisition, Lolapps also picked up the engine’s creator, Sean Cooper, and has begun to develop a newer version of Fliso to license to developers in the future.

Aside from the technical edge 6waves Lolapps gains from the Fliso engine, the merger also expands overall international reach. As one entity, the company now holds offices in the United States, Japan, Hong Kong, and the United Kingdom with localization support for 15 languages. Coincidentally, Ravenwood Fair is currently only localized in nine languages; though Sethi says Facebook is working with Lolapps on Portuguese, Russian, Arabic and Korean language versions.

The terms of the merger were not disclosed, but Sethi and Ng confirmed that 6waves Lolapps is now in the process of raising funding. 6waves’ last round brought in $17.5 million in January 2010, while Lolapps’ last known funding was a $4.5 million Series A round raised back in September 2008.

As for releases, 6waves recently published several new titles that have been appearing on our weekly top 20s lists, such as Camelot: The Game. Lolapps, meanwhile, is set to deliver Ravenshire Castle and possibly a second title dubbed Ravensky before the end of 2011.