After uninstalling KB4457129 and rebooting the license server started showing licenses again and logins were permitted.
Metasource sent the following about KB4457143 but it was not installed on the server. KB4457129 also had an MS Kernel update like KB4457143
Microsoft KB4457143
ApplicationXtender Licensing IssueMetaSource and OpenText have discovered an issue with the latest September 2018 Microsoft .NET Framework update, KB4457143. After applying this Microsoft Windows Update to Server 2012 R2 Operating Systems with OpenText License Server installed, hardware fingerprints generated on the AppXtender License Server machine change and are then logged as invalid. As a result, the product license files obtained through My Support and added to License Server as also invalid.
The exact update is from September 11, 2018—KB4457143 (Security-only update). According to Microsoft, the update only applies to Windows 8.1 and Windows Server 2012 R2. Since AX only supports its server components on server operating systems, Windows Server R2 is the only one affected. This is happening because the Kernel is being changed which also changes the fingerprint description of the AX LS server.
OpenText has issued this bulletin as a solution. However, MetaSource Technical Services have found that, in most cases, if you remove the update from the server the issues will be resolved. In some cases, this has not resolved the issue and new license requests are still needed.