Double clicking app build with py2app in Finder not working

I've been having this problem where an app built with py2app does not run
correctly when I double click it from Finder. It works if I run the
executable directly (.app/Contents/MacOS/app) from Finder or via terminal.

I tried troubleshooting but only got so far as to know that
applicationDidFinishLaunch: is not getting called on my app delegate. I
dont know why though.

I found a couple other threads talking about the same problem -
http://stackoverflow.com/questions/11663545/launching-application-made-with-py2app
https://groups.google.com/forum/#!topic/pygame-mirror-on-google-groups/eBEW8m0jtl0

I'm using py2app v0.7.1, pyobjc-core v2.4 on OS X 10.8.2.

Hope someone here can help!

Thanks,
Kunal

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