ESX u20.04 VM refuses to boot after upgrading to kernel 5.4.0-81 and up

ESX 6.7
Ubuntu focal 20.04

While using ESX encryption for EAR, if the MV has a mixture of encrypted/unencrypted disks assigned to it, it fails to boot right around where the kernel is trying to init the disks.

I've attempted to boot with 5.11.0-40, same issue.

I heard from a coworker that Ubuntu bionic 18.04 might be having the same issue, which I have not been able to look into yet.

left alone to boot: https://imgur.com/dUz2966

where it sits before the hung tasks starts being cranky https://imgur.com/crPuuVl

ProblemType: Bug
DistroRelease: Ubuntu 20.04
Package: linux-image-5.4.0-80-generic 5.4.0-80.90
ProcVersionSignature: Ubuntu 5.4.0-80.90-generic 5.4.124
Uname: Linux 5.4.0-80-generic x86_64
AlsaDevices:
 total 0
 crw-rw----+ 1 root audio 116, 1 Nov 12 04:04 seq
 crw-rw----+ 1 root audio 116, 33 Nov 12 04:04 timer
AplayDevices: Error: [Errno 2] No such file or directory: 'aplay'
ApportVersion: 2.20.11-0ubuntu27.21
Architecture: amd64
ArecordDevices: Error: [Errno 2] No such file or directory: 'arecord'
AudioDevicesInUse: Error: command ['fuser', '-v', '/dev/snd/seq', '/dev/snd/timer'] failed with exit code 1:
CasperMD5CheckResult: skip
Date: Fri Nov 12 04:10:26 2021
HibernationDevice: RESUME=none
IwConfig: Error: [Errno 2] No such file or directory: 'iwconfig'
Lsusb: Error: command ['lsusb'] failed with exit code 1:
Lsusb-t:

Lsusb-v: Error: command ['lsusb', '-v'] failed with exit code 1:
MachineType: VMware, Inc. VMware Virtual Platform
PciMultimedia:

ProcEnviron:
 TERM=linux
 PATH=(custom, no user)
 LANG=C.UTF-8
 SHELL=/bin/bash
ProcFB: 0 svgadrmfb
ProcKernelCmdLine: BOOT_IMAGE=/boot/vmlinuz-5.4.0-80-generic root=/dev/mapper/rootvg-rootlv ro vga=791 ipv6.disable=1 apparmor=1 security=apparmor audit=1 audit_backlog_limit=8192 elevator=noop kaslr pti=on slab_nomerge page_poison=1 slub_debug=FPZ nosmt
RelatedPackageVersions:
 linux-restricted-modules-5.4.0-80-generic N/A
 linux-backports-modules-5.4.0-80-generic N/A
 linux-firmware 1.187.20
RfKill: Error: [Errno 2] No such file or directory: 'rfkill'
SourcePackage: linux
UpgradeStatus: No upgrade log present (probably fresh install)
dmi.bios.date: 12/12/2018
dmi.bios.vendor: Phoenix Technologies LTD
dmi.bios.version: 6.00
dmi.board.name: 440BX Desktop Reference Platform
dmi.board.vendor: Intel Corporation
dmi.board.version: None
dmi.chassis.asset.tag: No Asset Tag
dmi.chassis.type: 1
dmi.chassis.vendor: No Enclosure
dmi.chassis.version: N/A
dmi.modalias: dmi:bvnPhoenixTechnologiesLTD:bvr6.00:bd12/12/2018:svnVMware,Inc.:pnVMwareVirtualPlatform:pvrNone:rvnIntelCorporation:rn440BXDesktopReferencePlatform:rvrNone:cvnNoEnclosure:ct1:cvrN/A:
dmi.product.name: VMware Virtual Platform
dmi.product.version: None
dmi.sys.vendor: VMware, Inc.