After some analysis the issues turned out to be related to missing ed25519 host key. Once it was created the sshd had no issues with running. My custom sshd_config has only specific HostKeys defined and for some reason not having there ed25519 cause this crash.
Running: ssh-keygen -A and adding to /etc/ssh/sshd_config line: HostKey /etc/ssh/ssh_host_ed25519_key solved this. -- To UNSUBSCRIBE, email to debian-bugs-dist-requ...@lists.debian.org with a subject of "unsubscribe". Trouble? Contact listmas...@lists.debian.org