Hedge Funds

Investors offer fractured response to Steel Partners’ revised plan


Investors in Warren Lichtenstein’s embattled Steel Partners were not of one mind in their response to his revised restructuring plan. While a majority of investors support an option to receive cash and a share of a public company, about a third of investors remain unhappy with the options offered by the firm.

Last year, investors representing 40% of the assets in the $1.23 billion Steel Partners II sought to redeem from the fund. In response, Steel halted redemption requests and proposed to roll the fund into a publicly listed shell company owned by Steel.

Several investors fought the proposal,