XXI Century Investments has hired Moscow-based investment bank Renaissance Capital to advise it on restructuring alternatives as the turmoil in the financial markets has seriously effected its ability to raise working capital.

XXI Century Investments has hired Moscow-based investment bank Renaissance Capital to advise it on restructuring alternatives as the turmoil in the financial markets has seriously effected its ability to raise working capital.

The AIM-listed property group active in Ukraine warned in a trading update on Monday that there was a 'substantial risk' that it may not be able to meet certain significant debt-related commitments, unless it succeeds in restructuring its payment schedules.

'Of most pressing concern is the risk that holders of the company's $175 mln (EUR 133 mln) 10% Guaranteed Secured Notes due 2010 may choose to exercise their option to require the company to redeem their notes on or after 24 May 2009,' XXI Century said.

Other substantial payments include a $8.75 mln interest payment on the 2010 Notes which is also due on 24 May 2009.

XXI Century has already cut its overhead costs by 50%, frozen many of the projects in its office, residential and retail development pipeline and reduced staffing numbers.