Excel copied cell's dotted line highlight instantly disappeared failing to copy inside Citrix

Question

Inside a Citrix session, User copies a cell in Excel 2016, the cell gets the dotted line highlight but gets disappeared suddenly. At this moment, if we check the clipboard, the content is there but if we try to paste with ctrl+V, nothing happens and copied content is not pasting. (This is like, you copy a cell and press the escape button > so content is first copied to clipboard but since escape is pressed, it's gone, you can't paste it.) Then, you need to press ctrl + C, multiple times to get the cell copied with staying dotted line highlight and only then you can paste the content.

I have tried below troubleshooting so far with no success:

1. To rule out a mouse issue, we used only the keyboard to copy and navigate cells, but the problem persisted. We tried different methods (right-click, Ctrl+C, copy icon), but the issue remained. 
2. When I logged into the same server via RDP, I didn't encounter the issue. My colleague also didn't face it on Citrix desktop via ICA.

Tried below steps inside the user's Citrix session: 3. Closed all the open applications - Didn't fix 4. Launched Excel with safe mode- Didn't fix 5. Renamed excel folder from appdata - Didn't fix 6. Verified no macros are existed 7. Issue happens only in excel, not in other apps 8. As suggested in one of the blogs that enabling the "Collect without showing office clipboards" option in excel clipboard had helped in fixing the same issue. But in our case, doing so, did not make any difference. Verified user also using latest Citrix workspace version

Can any of you please help me with this issue? I couldn't find the solution anywhere else :(