[specified module could not be found] is a fancy way of saying that regsvr32.exe could not find the licdll.dll file when it tried to register it. That is bad, since I'm pretty sure the SP2 install program needs this file to install. This could be the problem.
On my machine, this file is located in the c:\windows\system32 drive, which is the same place REGWIZC.dll is located. Could it be that licdll.dll got deleted somehow?
I don't know much about what this file does, but you may be able to get away with copying it from another machine if you find it doesn't exist on yours. Copy it into your c:\windows\system32 directory, then register it with the "regsvr32 licdll.dll" command (without the quotes).