Ecosphere Technologies, Inc. (OTCPK:ESPH) announced that it has entered into a securities agreement for a private placement of 10% secured convertible promissory note with existing investor Brisben Water Solutions LLC for gross proceeds of $200,000 on February 29, 2016. The interest is fixed at 10%, will convert into common shares of the company at $0.115 per share, and is pre-payable. The note will mature on May 29, 2016.

If the repayment of the principal and interest of the note is not made by May 29, 2016, the company will extend the maturity date of the note to September 12, 2016, the investor will be required to pay an additional interest in the amount of $20,000, and the company will issue warrants to purchase 3,478,260 shares of series C to the investor. The collateral securing the note upon a default consists of collateral securing the prior note and all proceeds received from the company's Ozonix intellectual properties in the mining-related global field of use and various patents and patent applications related to such Ozonix technology for the global field of use for commercial mining wastewater treatments, other than from oil and gas and other excluded minerals which are owned by a company in which the company has a minority interest.