The Reading-based business has purchased a 2,230sqm factory five minutes from its two existing units, taking its total production space to over 6,000sqm.
It has also installed an Onset S20, a Durst 320R, a Durst 500R and a Durst Rhotex 3.2m textile printer during the past 18 months.
In addition, a Kongsberg I XL 24 and a Kongsberg I XL 44 have been added to boost finishing capacity.
Managing director of the 92-staffed company, Michael Ayerst, said: "The new site and kit has enabled us to expand our digital printing facility, and we have added 30% to production space.
"Digital print now makes up 75% of our work, supported by screen. We've invested £2.2m in the building and last year, we invested £2m in kit. We are also looking into investments in the near future."
He added that the business had a "record year" last year in terms of turnover.
"We feel very positive for 2011, and are also in the process of investing further in environmental standards such as IS0 14001."
Ayerst said: "We have looked at everything we do from an environmental perspective, and reduced fuel in cars and changed our lighting system to be more sufficient.
"We have also moved from solvent to UV ink, and our inks have the Nordic Swan environmental mark which also reduces our solvent output."
The company currently has a turnover of £9.4m and expects that figure to increase to £12m by the end of 2012.
VGL is a family business founded in 1976, and now employs 80 people. Its markets range from labels to large-format building wraps.