O365 email adapter does not save sign-in

We are using BizTalk 2016 with POP3 adapter. To discontinue using POP3 I have installed BizTalk CU9 with Feature Update 3. Also installed BizTalk TMS. TMS is running under the same account as SSO and is administrator on these two Bizalk servers. When I try to create a receive location using Office 365 outlook email adapter, click sign-in and enter credentials, these credentials are not saved. As a result I cannot configure this receive location. I have tried multiple accounts with same results, sign-in information is not saved. There are no events in event log, system log. If anyone has faced this issue can they suggest possible solutions.