As we predicted in an earlier blog, Steel Partners won their proxy contest with Point Blank Solutions yesterday. Furthermore, it seems our "unscientific" shareholder vote projection was pretty close - Steel ended up getting 51% of the voted shares and PBSO's nominees received 11%.
One interesting development is this: General Tony McPeak, one of Steel's elected nominees, is one of a dozen co-chairman for Barack Obama's Presidential election campaign. As a former US Air Force Chief of Staff and a four-star General, McPeak has offered Obama his thoughts on foreign policy and military issues.
Besides being a central figure in Obama's election campaign, McPeak serves on several board of directors at defense-related companies, including two companies controlled by Steel Partners - Del Global Technologies and Point Blank Solutions.
If Obama is elected to the office of the President, McPeak will certainly be appointed to a favorable political position within the new administration. And although it is unlikely he will play a key role in the financial services sector, his relationship with hedge fund activism and "shareholder-friendly" corporate governance could have a behind-the-scenes influence on certain SEC hot-topics, including: say-on-pay and shareholder access to proxy materials.