It turns out DB2 db2sysc process was having too low max semid:
bash-3.00# prctl 5517
process: 5517: db2sysc
..
project.max-sem-ids
privileged 128 - deny -
system 16.8M max deny -
..
Changed it to 4000 and it is working fine:
prctl -n project.max-sem-ids -r -v 4000 5517
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