In a filing this afternoon, Cell Therapeutics said that French bank Societe Generale had withdrawn an $88 million equity line of credit from the company. See the filing here.

Under the equity line of credit, Cell Therapeutics can sell up to $88 million of its shares to Societe Generale. In January, Cell Therapeutics raised $1.3 million by selling shares to the bank.

In the filing, Cell Therapeutics said that Societe Generale had terminated the agreement because there had been a "material adverse change under the Financing Agreement."

In its last annual report, Cell Therapeutics reported that its accounting firm had said there was "substantial doubt as to (the company's) ability to continue as a going concern." In addition, Nasdaq notified Cell Therapeutics that its stock could be delisted from the exchange.

Cell Therapeutics is challenging Societe Generale's decision, saying in the filing:

CTI disagrees with Société Générale's allegations that such events permit Société Générale to terminate the Financing Agreement and CTI is reviewing its options to cause Société Générale to continue to provide financing under the Financing Agreement, although there can be no assurance that Société Générale will do so.