Supply chain logistics company Brambles has moved to 100 per cent ownership of keg logistics and distribution business Kegstar ahead of an expansion into the UK market.
Brambles, which bought an initial 30 per cent in Kegstar in March 2014, has lifted its stake to 100 per cent after buying out the holdings of founder and managing director Adam Trippe-Smith and co-shareholder Shane Bradley.
As a result, Kegstar will be accelerating its plans to expand into new territories beyond Australia and New Zealand.
Under Brambles’ ownership, Kegstar will continue to operate as a stand-alone business, with Adam Trippe-Smith retaining his position as MD.
Kegstar will launch a specialist keg pooling business in the UK in February 2016, then expand operations into mainland Europe.
The European business will also feature Kegstar’s keg-tracking platform and its pay-per-fill offering whereby Kegstar collects the empty kegs from the licensed venue.
The addition of Kegstar operations in Europe also opens up the opportunity for customers in Australia and New Zealand to export their beer to the UK in Kegstar kegs and UK brewers to export their beer to Australia and New Zealand in Kegstar kegs.
Trippe-Smith said he looked forward to tapping into the global asset pooling knowledge and network of the entire Brambles group to take Kegstar to the next level.
Brambles CFO Zlatko Todorcevski said when the firm first invested in Kegstar it was a business that was "gaining traction" in the fast-growing craft beer and cider market.
"We didn't have a presence in keg pooling but definitely identified the potential to add value, not just through financial investment but also with Brambles supply-chain expertise and global network," he said.
Todorcevski said the performance of the business since Brambles had acquired the 30 per cent interest had been solid. "Having seen what the Kegstar team has achieved since then, it was an easy decision to take the step of acquiring the company."
The purchase price will not be disclosed.
