While I do have nested LVMs myself, I never actually boot off nested LVM. E.g. 
the inner vg is presented as top-level for the VM.
Sounds like a very interesting bug.

** Changed in: lvm2 (Ubuntu)
     Assignee: (unassigned) => Dmitrijs Ledkovs (xnox)

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https://bugs.launchpad.net/bugs/1069579

Title:
  initramfs boot hang (waiting for termination ofwatershed vgscan
  vgchange proccesses) if logical volume contains volume group

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