Devro Plc - DVO
Devro plc is a multinational company based in Moodiesburn, Chryston, Scotland which manufactures and distributes goods derived from collagen, principally sausage casings, a product in which it is the world leader. The firm also produces films, casings and other specialised collagen products for use in the health care and cosmetics industries. The company has been listed on the London Stock Exchange since 1993 and was added to the FTSE 250 Index in August 2010.
Devro was founded as a new business of Johnson & Johnson in 1962 after its researchers developed...
...a material suitable for the manufacture of sausage casings from collagen. The business name was devised as an acronym of "Development and Research Organisation", the Johnson & Johnson unit from which it emerged.
The firm was subject to a £108 million management buyout from J&J in 1991 and was listed on the London Stock Exchange two years later. In 1996 it acquired the American firm Teepak International for US$135 million, including its majority stake in the Czech company Cutisin. The Czech unit was fully acquired in 2004. In the same year the company opened a thin film manufacturing facility in Hamilton, Scotland, but this was sold off in 2007.
In early 2007 Devro engaged in talks with an undisclosed suitor, rumoured to be its then-largest shareholder Acomita Investment (a vehicle controlled by John Magnier), over a takeover of the company. The talks were however terminated after an agreement could not be reached on issues relating to its pension scheme.
The company was promoted to the FTSE 250 Index on 27 August 2010 after the acquisition of Arriva by Deutsche Bahn was completed.