DEVRO, the Moodiesburn-based sausage skin maker, has agreed to a takeover by a company owned by one of Germany's richest families.

The Scottish manufacturer, which employs around 2,000, announced details of the move by German giant Saria, part of the Rethmann family empire, this morning.

Devro, one of the largest sausage skin and collagen casings makers in the world, said the enterprise value was £667 million.

The cash consideration represents an "attractive premium" of 65 per cent to the closing price of 192p per Devro share from the last business day before the announcement last night, it said.

Steve Good, chairman of Devro, said: "We believe that Saria's understanding of our markets, its strong financial position and the cultural fit will benefit the group's business and employees. As a result, the Devro directors have agreed unanimously to recommend that Devro's shareholders accept the offer from Saria."

He also said: "The offer also provides an opportunity for Devro shareholders to crystallise, in cash, the value of their investments at a fair and reasonable value."

Harald van Boxtel, chief executive of Bidco, said: "The proposed combination of Devro and the Saria group will bring together two leading international businesses with complementary product portfolios, particularly in the sausage casings market, providing a platform for sustainable and scalable growth in highly attractive and dynamic categories."

Saria specialises in products for human consumption, animal nutrition, aquaculture, agriculture and pharmaceutical and industrial applications.