Stewart Hughes, joint managing director of Darley, said the investment programme would include the purchase of a Kodak Prinergy pre-press workflow system and a press from an unnamed German manufacturer.
According to Hughes, the Burton-upon-Trent based company is expecting the extra capacity to be soaked up by "existing clients and expansion into new markets", with Darley looking at the food labelling market in particular.
Hughes, who runs the company with joint managing director John Alton after a management buyout last year, said turnover was up from around £8m at the time of the buyout to just under £10m this year.
Darley has a 76-strong workforce and was founded in 1827. It was the first company to produce labels for beer bottles in 1860 and currently supplies wet glue labels to big name drinks brands such as Coors, Carlsberg and Bulmers.
It is also involved in the supply of the patient information leaflets included with pharmaceutical products.
Darley sets sights on 50% capacity increase with 1m investment
Following a 2m jump in turnover, drinks label specialist Darley is to pump 1m into an investment programme in a bid to boost capacity by 50% over the next three years.
