Does Organization invites requires "Enable Auto-Membership" to be enabled?


I have an Organization with AAD connection and “Enable Auto-Membership” disabled.
I have added an invitation in the Organization section for a user that belongs to AAD.
When he clicks on the invite link he gets the “Enter the org name” UI. After he enters the org name it gets back to the “Enter the org name” UI and so on.
It seems that when I change the “Enable Auto-Membership” it works as expected without the endless loop on “Enter the org name”
Do I must enable “Enable Auto-Membership” to be able to work with invites?