Hmm… definitely better than the first copy. May I recommend changing "breaking the matter down into a liquid form which is then devoured" to "breaking down the matter into a liquid slurry, which is then consumed". "Breaking down the matter" flows better to my ear, and consumed seems more clinical than devoured to me.
Also, you need to capitalize "when" in "when a designated prey is nearby".
Finally, you say that the worms can regenerate/repopulate when split, in a manner similiar to what earthworms do. Does this mean that they're just reforming the original mass, or do they generate completely new masses/bodies. I.e. if I chop the original body in half, will it just flow back together and regenerate the destroyed worms, or will it create 2 new half-size bodies, or will it regenerate into 2 new full-size bodies?