Just created an issue on libvirt's upstream bug tracker:
https://bugzilla.redhat.com/show_bug.cgi?id=1350909

** Bug watch added: Red Hat Bugzilla #1350909
   https://bugzilla.redhat.com/show_bug.cgi?id=1350909

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https://bugs.launchpad.net/bugs/1529079

Title:
  Can't start virtual machines with installed systemd-container package
  on Xenial

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