I'm using Capacities (1.51.2) on my iPad with a Magic Keyboard. I select the search icon on the left hand panel, and the search modal opens. After that, there is no way to dismiss the modal (see picture). Pressing the search icon a second time will not dismiss it. Selecting an option in the search modal or something else in the side panel will not dismiss it. Disconnecting the iPad from the Magic Keyboard does not fix this issue either. The only option is to close out of Capacities and start again.
This renders the search functionality unusable on the iPad.