The problem with this story is that a "merger" makes absolutely no sense for many reasons - the licence isn't transferable, how do you merge two clubs in different countries and the FFA is not going to allow an expansion team a back door into the competition.
I still think that as a club we are in big trouble and we have to find a way to play to our strengths and get crowds and viewers up. But this whole story smacks of 2 + 2 = 5.