Daydream runtime issues when building with Target Android SDK of 26

As per the Google announcement that all new apps need to Target Android SDK 26+ by August 2018 and all existing app updates by November 2018:

I tried to update my app with Target Android SDK 26 (keeping min SDK at 24) however it does not run anymore after building for this Target SDK. When starting the app the screen rotates and goes black and then freezes. You do not see the usual “insert device into your headset” graphic. I attached the logs filtered with “googlevr” if that helps:
Perhaps some new permission in Target 26 which is not handled in VR mode?

Tested using 4.20 binary which supposedly includes the latest GoogleVR SDK on a Samsung S8 running Android version 8.0.0

Anyone else experiencing this with Daydream and Target SDK 26 ?

fyi: I also brought this issue up over at the googlevr git branch in case a dev is looking there: