The Australian Competition and Consumer Commission (ACCC) has raised preliminary concerns that MicroStar’s proposed acquisition of the assets of Konvoy could significantly reduce competition in the national keg pooling market.
In a Statement of Issues published today, the ACCC noted that MicroStar (operating as Kegstar in Australia) and Konvoy are the only two providers of keg pooling services in the country. These services allow brewers to rent kegs from a shared pool on a short-term basis to supply alcoholic beverages to pubs, bars, and other licensed venues. Both companies also offer keg leasing services.
“The proposed acquisition would combine the only two providers of keg pooling services in Australia,” said ACCC Commissioner Dr Philip Williams. “Many craft breweries appear to be reliant on keg pooling services to supply pubs and bars beyond local areas, and they are likely to have neither the ability nor the incentive to invest to self-supply and manage a fleet of kegs.”
Market feedback gathered by the ACCC suggests that keg leasing or outright ownership is not a close substitute for keg pooling, and that new entrants are unlikely to emerge as competitive suppliers in the foreseeable future.
“Our preliminary view is that the proposed acquisition is likely to substantially lessen competition in the supply of keg pooling services in Australia,” Dr Williams added.
Industry Context and Legal Framework
Keg pooling enables breweries to avoid the costs of owning and managing their own kegs. Instead, they can order empty kegs from a shared pool, fill them, and deliver them to venues, after which the kegs are returned to the pooling provider. Because these kegs are part of a larger, shared system, they do not need to be returned to the specific brewery that supplied them.
The ACCC is assessing the deal under section 50 of the Competition and Consumer Act, which prohibits acquisitions that have the effect, or are likely to have the effect, of substantially lessening competition in any market. Section 50 applies even if one of the parties is in administration or receivership.
Company Backgrounds
MicroStar, a U.S.-based keg services provider with operations in the UK, Europe, Australia, and New Zealand, entered the Australian market in 2021 through the acquisition of Kegstar from Brambles Limited. Kegstar itself was founded in 2012 by Adam Trippe-Smith and initially focused on keg leasing before expanding into keg pooling.
Trippe-Smith later founded Konvoy in 2019, which entered the market with keg pooling services. In response, Kegstar began offering keg pooling as well.
Konvoy is currently in voluntary administration and receivership. On 11 March 2025, FTI Consulting was appointed administrator, while McGrathNicol was appointed receiver. A sales process was undertaken, with MicroStar emerging as the successful bidder for Konvoy’s assets.
The ACCC is inviting submissions from interested parties in response to its Statement of Issues by 28 August 2025.
