Aug 11 (Reuters) - Card processor StoneCo Ltd said on Tuesday it would merge one of its units with Brazilian retail software company Linx SA.

After the merger, a new software business unit will be created within StoneCo and will be managed by its leadership and the Linx management team, StoneCo said. (Reporting by Nivedita Balu in Bengaluru; Editing by Shinjini Ganguli)