ios – Apple Pencil 1st generation is not pairing/recognised by 7th generation iPad after installing iPadOS 13.7 update

My 1st generation Apple Pencil (bought newly) is not showing in 7th generation iPad (bought newly) under Bluetooth devices. This is happening since after iPadOS was updated. The other devices gets easily recognised and shows pairing pop-up but this doesn’t happens with Apple Pencil.

I tried all sorts of troubleshooting listed in article, suggested by Apple Support documents etc. but the issue is still unresolved. Before iPadOS updated it was working fine.

What could be going wrong and how do I resolve it?