(Yicai Global) Oct. 23 -- Chinese bike-sharing startup Bluegogo, run by Tianjin Luding Technology Co., has denied speculation that it arranged a takeover deal with Changzhou Youon Public Bicycle System Co. [SHA:603776], and promised that user deposits would be refunded by Nov. 10.

Earlier media reports suggested that the listed firm had agreed to take over the struggling sharing platform and would pay CNY10 million (USD1.51 million) on Oct. 21 to solve Bluegogo's cash flow issues. However, the bike sharer denied the news, adding that it had ramped up efforts to refund overdue deposits, Jiemian News reported.

An increasing number of Bluegogo users have been complaining since late last month that they had not received refunds for their security deposits within agreed deadlines. The tech startup pledged a new deadline on Oct. 20, saying any deposits which were applied to be refunded before Oct. 30 will be dished out by Nov. 10.

Bluegogo was valued at CNY1 billion after it bagged CNY400 million (USD60.6 million) through A-round funding in January.