Image Entertainment Inc. said Wednesday it has abandoned its planned $100 million acquisition by Nyx Acquisitions Inc. after the San Francisco private equity firm failed to meet a deadline for a required payment.

It’s the second time in as many years that the Chatsworth DVD distributor which has struggled as the technology for distributing home entertainment changed has had to walk away from a deal. Image in November agreed to sell itself to Nyx for $60.2 million in cash, plus assumption of debt, in a transaction originally to have closed February 26.

Last week, the two companies agreed to extend the time to complete the deal to March 20 in exchange for Nyx placing an additional $500,000 into a trust that held a $1.8 million termination fee. Image said Wednesday that the new money had not been deposited and therefore it was terminating the entire deal and seeking its full $2.3 million termination fee.

A planned merger with BTP Acquisition fell apart in February 2008 because BTP could not arrange the financing. Image’s board and management earlier fought off an unfriendly takeover attempt by Santa Monica independent studio Lions Gate Entertainment Inc.

Image shares were down 29 cents, or nearly 25 percent, to 89 cents in morning trading on the Nasdaq.