Bright Lights (NASDAQ:BLTS) announced this afternoon that it has mutually terminated its combination with MANSCAPED, effective immediately.

On August 15, 2022, BLTS received a letter from Manscaped purporting to terminate the BCA and the parties entered into the termination agreement today. Similar to most SPACs, Bright Lights cited unfavorable market conditions as the reason for the termination. Volatility within the SPAC and equity markets are still creating a challenging environment for SPACs and IPOs alike, making Bright Lights and Manscaped the 41st deal to be terminated this year and the 7th in August thus far.

As a result, Manscaped has agreed to pay BLTS a fee of $1.0 million, with $350,000 due on the date of the termination agreement, $216,666.66 due on each of the first and second anniversaries of the termination date, and $216,666.68 due on the third anniversary.

The SPAC originally anticipated funding the deal with about $230 million from its current trust supplemented with a $75 million PIPE at $9.20 per share. The PIPE drew investment from UBS O’Connor, Shaolin Capital Management, Signia Venture Partners, Guggenheim Investments, Endeavor, and an affiliate of Saban Capital Group.

Nonetheless, Bright Lights intends to continue its search for a target, with a transaction deadline several months away on January 11, 2023. The SPAC announced the pricing of its $200 million IPO on January 6, 2021 and initially intended to combine with a business operating in the consumer products and media, entertainment and sports sectors valued at $500 million to $1.5 billion.

Bright Lights announced its $1 billion business combination agreement with Manscaped on November 23, 2021. San Diego, California-based MANSCAPED provides men’s grooming products and subscription re-fills via its native ecommerce site, Amazon and retailers.