Google IPO still not approved by US regulators

US regulators have still not yet authorised Google's initial public offering (IPO) to proceed as of late yesterday - a deadline the company set on the road to its hotly anticipated float.

"We have not declared the registration statement effective," John Heine, a spokesman for the US Securities and Exchange Commission (SEC), said after Google's requested deadline of Tuesday afternoon.

Although Heine would not say when it would authorise the documents, its clearance is necessary before Google can price its 24.6 million shares for sale to the public. Bidding for the shares began Friday and was set to close this afternoon, when Google had asked the SEC to declare its registration effective.

People familiar with the deal have said pricing of the shares is not likely to occur until sometime after the market closes on Wednesday, with the shares trading Thursday. But any delay by the SEC could fumble the timing.

Google has stumbled many times on the way to its much-ballyhooed IPO, which is expected to raise between $2.7bn and $3.3bn.

On Monday the company notified investors that the SEC and state regulators have begun investigating the issuance of 28 million shares to employees and consultants that weren't registered under law.

Last Friday, Google filed an amendment to its prospectus cautioning investors that a recent Playboy magazine article featuring company co-founders Larry Page and Sergey Brin could violate SEC rules governing its "quiet period". The company said it would vigorously fight any such determination on the part of SEC regulators, however.

Google has placed a price range of $108 to $135 for the shares, but many industry watchers expect the deal to price below that range.

Stefanie Olsen writes for CNET News.com