Can-maker Sinocan Holdings has revealed it is experiencing cash-flow problems and must restructure debts of $600 million. The company said yesterday it had failed to make an interest payment on a $320 million loan facility of which $270 million had been drawn down. To alleviate its cash-flow problems, Sinocan said it was contemplating fund-raising exercises. It said it would start negotiations 'shortly' with its creditor banks with a view to restructuring the loans. Hongkong Bank, American Express Bank, Banque Nationale de Paris and Belgian Bank are among the company's principal banks, according to last year's annual report. The company has warned of a net loss in the six months to June. Net profit stood at $117.3 million in the year to December last year. Due to the downturn of market conditions in the mainland, particularly for three-piece tin cans, Sinocan would experience increasing difficulty obtaining working capital. Analysts said the company's financial problems were reflected in its share price which has more than halved to eight cents from 17.6 cents a month ago.