My Issue
I was having a similar issue when installing Google Drive. In the Security/Privacy panel, it would tell me the extension had been updated and that I needed to restart, giving me the option to click 'restart' or 'not now.' Whenever I clicked restart, it would restart the loop.
What Worked For Me
I clicked 'Not Now' and restarted on my own. When it restarted this time, the extension was properly installed with no prompt to restart.
Hopefully this helps!