This test was seen to fail initially on jep486 branch, Now fails in mainline too.
There seems to be some kind of side effect of SM removal on this test although the test wasn't modified as part of SM removal.
It happens on windows platform only. Locally the issue is reproducible when heap space is reduced to 128m and seems to pass when heap space is increased. But fixing the test by just increasing heap size will mask the real issue which may be a regression caused by SM changes.
To replicate it locally on windows run with the following jtreg tag:
@run main/othervm -Xmx128m InfiniteLoopException