The Rhyl, north Wales-based company, was formed from the merger of digital label printer Borble and print management business Labels First in October last year.
The 3500 is the latest in a long line of Xeikon machines run at the Rhyl business, and replaces an outgoing 330 press.
According to Gary Lovell, sales director at Labelsprint, the Xeikon 3500 offers the opportunity to print both wider and longer label runs as well as smaller-format jobs more efficiently and more cost-effectively.
He said: "We have to appreciate that our production solution is not simply about producing short runs at a lower cost than everybody else. That is not going to continue as a sustainable business for very long.
"While other companies in the digital label market only covet "short-run work", we firmly believe that we can produce substantially longer print runs with the new Xeikon 3500."
The company's new machine can print at resolutions up to 1,200x3,600dpi at speeds reaching 594sqm an hour.
Gavin Scott, Labelsprint managing director, said the ability to print on substrates up to 550mm in width raised the bar and extended the company's reach into the flexo market.
"The new machine will sit well alongside our Xeikon 3300 machine, providing us with suitable back-up but also offering an extended range of capabilities," he added.
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