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Devro is to invest £12m in the expansion of its sausage skins factory in Bellshill this year.

Devro has sold its BioFilm division to a new company backed by Tate & Lyle Ventures for a nominal sum, and £3m will be invested in the dissolvable thin film technology business.

Devro has acquired Biofilm, the Glasgow-based developer of dissolvable thin film technology that can be used as carriers for flavours and other active ingredients.

Devro, the manufacturer of sausage casings, is said to considering plans to open a new factory in Hamilton, with the creation of 45 jobs.

Devro, the sausage casings company, is to sell its lossmaking cellulose business to Teepak for £5m, in order to focus on its traditional collagen manufacturing operations.

Devro International, the maker of sausage casings, is selling its Devro America business to Nitta Gelatin of Japan for $26m.