Incase anyone else has this problem - It seems to have resolved it self.
The image I mention above was never sysprepped. I sysprepped it, uploaded it as multiple partition - single disk, and it worked fine multicast. After that I noticed the hidden partition shrunk from 500mb to 100mb. I figured Iād try uploading it as NTFS resizable - and go figure, it works fine multicast now.
Odd