Go here for more info and a link to download the MSI utility:  http://blogs.technet.com/softgrid/archive/2008/01/03/the-msi-utility-for-microsoft-application-virtualization-and-hfru1-are-now-available.aspx

This will now give you the ability to un-tether SoftGrid applications from the need for SG Server infrastructure...  They can be installed as normal MSI packages (assuming that the SG client is installed on the target and is configured NOT to talk to any SG server).