diff --git a/arch/powerpc/kvm/book3s_64_mmu.c b/arch/powerpc/kvm/book3s_64_mmu.c
index a93d719edc906887b0f4bf412b2b76ac04babfec..cf9d686e81621fca1628ae772cb5150b2cb1209d 100644
--- a/arch/powerpc/kvm/book3s_64_mmu.c
+++ b/arch/powerpc/kvm/book3s_64_mmu.c
@@ -38,7 +38,16 @@
 
 static void kvmppc_mmu_book3s_64_reset_msr(struct kvm_vcpu *vcpu)
 {
-	kvmppc_set_msr(vcpu, vcpu->arch.intr_msr);
+	unsigned long msr = vcpu->arch.intr_msr;
+	unsigned long cur_msr = kvmppc_get_msr(vcpu);
+
+	/* If transactional, change to suspend mode on IRQ delivery */
+	if (MSR_TM_TRANSACTIONAL(cur_msr))
+		msr |= MSR_TS_S;
+	else
+		msr |= cur_msr & MSR_TS_MASK;
+
+	kvmppc_set_msr(vcpu, msr);
 }
 
 static struct kvmppc_slb *kvmppc_mmu_book3s_64_find_slbe(