Recently we have upgraded the VMtools version from 10.305\10.346 to 11265 – 11.0.1 and we noticed few VMs went to hung status and noticed the below alert in windows VMs.

vmware.log:

2020-02-07T12:50:58.182Z| vcpu-0| I125: Guest: vsep: AUDIT: VFileSocketMgrCloseSocket : Mux is disconnected <——————————————
2020-02-07T12:50:58.297Z| vmx| I125: VigorTransportProcessClientPayload: opID=3997b233-39-9b26 seq=290: Receiving MKS.IssueTicket request.
2020-02-07T12:50:58.297Z| vmx| I125: SOCKET 5 (129) creating new listening socket on port -1
2020-02-07T12:50:58.297Z| vmx| I125: Issuing new webmks ticket a9161e… (120 seconds)
2020-02-07T12:50:58.297Z| vmx| I125: VigorTransport_ServerSendResponse opID=3997b233-39-9b26 seq=290: Completed MKS request.
2020-02-07T12:50:58.666Z| vcpu-0| I125: Guest: vsep: AUDIT: SetupConsumerContext : Setting event Type as 256 from 0
2020-02-07T12:50:58.667Z| vcpu-1| I125: Guest: vsep: AUDIT: SetupConsumerContext : Setting event Type as 256 from 0
2020-02-07T12:50:58.676Z| vcpu-1| I125: Guest: vsep: AUDIT: SetupConsumerContext : Setting event Type as 256 from 0

VMware ticket has been raised and they recommended to upgrade the NSX Manager to 6.4.4 and confirmed the below

There is an internal bug which confirms that this is a known issue with VMware tools version you are using ( 11.0.1 ) and there is no external documentation available confirming this aspect. We have confirmed based on an engineering ticket that we have referred. As per the engineering ticket, this should be made available in the release notes of 11.0.5 and expected to be fixed in 11.1. There is no ETA mentioned about these releases.