Well, depends on how you define "merging". What was said at the shareholder meeting (video is in Ibox) is that another company that is an international film producer/distributor, but does not have a US based distributor system (which is required to get into the big retail outlets), wants to buy an equity stake in TDGI then use TDGI to distribute their films in the US. Currently that other company is having to sell their films to the other companies like Fox, Sony, Summit Entertainment, etc in order to get the films played in the US. They want to buy a portion of TDGi then have TDGI release all their films in the US.
Nothing has been announced yet. The shareholder meeting video covers about all we know at this point.