If I exited the tab using exit command and then press Ctrl+Z to reopen the tab, then the tab opens in a hanging state.

Required information for bugs. I probably can't help you unless you include this:

• iTerm2 version
• OS version
• Attach ~/Library/Preferences/com.googlecode.iterm2.plist here
• Attach a debug log (https://iterm2.com/debuglog)

If "Automatically close a session when it ends" is turned on then undoing a close tab won't give you the "broken pipe" indicator and butterbar offering to restart the session.

Milestone changed to Ship 3.0

Fixed in 76d55ddf

Status changed to closed