STUART, Fla., Feb. 20, 2013 (GLOBE NEWSWIRE) -- Ecosphere Technologies, Inc. (OTCBB:ESPH), a water engineering, technology licensing and innovative manufacturing company, today announced it has entered into a definitive securities purchase agreement with CIM Investment Management Ltd., a London-based institutional investment firm, to issue $3.4 million of convertible notes and warrants. On February 19, 2013, the Company closed the first tranche of $750,000. Subject to meeting a milestone by March 15, 2013, the Company will close the second tranche of $2,650,000. The proceeds will strengthen the Company's balance sheet and are expected to enable the Company to pursue the development of new markets for its patented Ozonix technology, including specific opportunities in the mining, utilities and municipal wastewater treatment industries.
"CIM is excited to partner with Ecosphere as it pursues new opportunities for its proven Ozonix wastewater treatment technology," stated Daniel Nye, Portfolio Manager for CIM Investment Management Ltd., the manager of the funds. "Ecosphere has established itself as a leader in the oil and gas hydraulic fracturing industry with its innovative chemical-free water treatment solutions, and we look forward to this investment helping to propel Ecosphere into future wastewater treatment applications including but not limited to the mining and utility industries."
"We are excited to partner with a firm of the stature of CIM," stated John Brewster, Chairman and CEO of Ecosphere. "We appreciate CIM's confidence in our unique Ozonix technology, and their understanding of the market opportunities in front of us. Their investment in Ecosphere will assist us in sustaining the rapid growth of our business."
Brean Capital, LLC acted as the exclusive placement agent for the transaction.
Further details of the financing are provided in a Form 8-K, which has been filed with the U.S. Securities and Exchange Commission.
About Ecosphere Technologies
Ecosphere Technologies, Inc. (OTCBB:ESPH) is a water engineering, technology licensing and innovative manufacturing company that develops non-chemical water treatment solutions for industrial markets throughout the world. The Company is a leader in emerging advanced oxidation processes and has an extensive portfolio of intellectual property that includes five United States ("U.S.") patents for the Ecosphere Ozonix process. The patented Ecosphere Ozonix process is a revolutionary advanced oxidation process that is currently being used by energy exploration companies to reduce costs, increase treatment efficiencies and eliminate liquid chemicals from wastewater treatment operations around the United States.
A recipient of Frost & Sullivan's 2012 North American Product Leadership Award in Disinfection Equipment for Shale Oil and Gas Wastewater Treatment, Ecosphere has enabled oil and gas customers to recycle and reuse over two billion gallons of water on more than 600 oil and natural gas wells in major shale plays around the United States since 2008.
For more information, please visit www.EcosphereTech.com.
The Ecosphere Technologies, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=12214
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements including expected new markets and opportunities for the Company's technology, the expectations from the proceeds of the investments and the Company's rapid growth. Forward-looking statements can be identified by words such as "anticipates," "intends," "plans," "seeks," "believes," "estimates," "expects" and similar references to future periods.
Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by the forward-looking statements. We caution you therefore against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Important factors that could cause actual results to differ materially from those in the forward-looking statements include the success of our technology in other verticals, our ability to achieve the milestone, Hydrozonix, LLC's ability to maintain exclusivity, and the reluctance of businesses to change to new technologies.
Further information on our risk factors is contained in our filings with the SEC, including our Form 10-K for the year ended December 31, 2011. Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
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CONTACT: Investor Relations: Gary Dvorchak, CFA Senior Vice President ICR, LLC +1 (310) 954-1123 firstname.lastname@example.org Press and Media Relations: Brian Ruby Vice President ICR, LLC +1 (203) 682-8268 email@example.com Company: Corey McGuire Director of Marketing Ecosphere Technologies, Inc. +1 (772) 287-4846 firstname.lastname@example.org
Source:Ecosphere Technologies, Inc.