HTTP Error 500.21 - Handler HANDLER_NAME has a bad module ManagedPipelineHandler in its module

Hello all,

I am trying to migrate an old asp.net website to new win 2012 r2 server IIS 8.5.

Im running in classic mode. 32-bit application allowed = TRUE.

have the following section in web.config:

 <system.webServer>
    <handlers>
      <add name="XmlAsyncHandler" verb="*" path="*.xml" type="XmlAsyncHandler" />
     </handlers>
  </system.webServer>

All pages working fine, but when Im trying to GET an xml via this handler Im getting this error:

HTTP Error 500.21 - Handler "XmlAsyncHandler" has a bad module "ManagedPipelineHandler" in its module list

When I google this I see a lot of answers telling me to run this command to fix asp installation:

%windir%\Microsoft.NET\Framework\v4.0.30319\SetupCache\Client\setup.exe /repair /x86 /x64 /ia64 /parameterfolder Client /q /norestart

But I have no SetupCache folder...

Any idea how to solve this?