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We consider a free fermion formulation of a statistical model exhibiting a limit shape phenomenon. The model is shown to have a phase transition that can be visualized as the merger of two liquid regions - arctic circles. We show that the merging arctic circles provide a space-time resolved picture of the phase transition in lattice QCD known as Gross-Witten-Wadia transition. The latter is a continuous phase transition of the third order. We argue that this transition is universal and is not spoiled by interactions if parity and time-reversal symmetries are preserved. We refer to this universal transition as the Merger Transition., Comment: 23 pages, 6 figures