Environmental Solutions Worldwide Inc. (OTCPK:ESWW) announced a private placement of senior secured convertible promissory notes due March 22, 2018 for gross proceeds of $5,000,000 on March 22, 2013. The round will include participation from new investor Black Family Partners LP, existing investor Orchard Capital, John J. Hannan, and Richard Ressler. Each note entitles the holder to purchase one common share at $0.04 per share. The company will issue securities pursuant to exemption provided under Regulation D. The transaction is expected to close by March 22, 2014 or at any prior date agreed to by the parties. The notes bear a 10% interest payable semi-annually on March 31 and September 30 each year. The notes will mature on March 22, 2018. The notes shall not be issuable in denominations less than integral multiples of $10,000. The interest payment on the notes will commence on September 30, 2013.

The company shall pay all costs and expenses, including reasonable attorney's fees, which may be incurred by the investor. The company will not pay any brokerage commissions, finder's fees or similar payments in relation to the transaction.

On the same date, the company announced that it has received $1,400,000 in the first closing of the transaction.

On April 23, 2012, the company closed the second tranche of the transaction. The company received $1,600,000 in the second tranche.