The business, which is a sales and service operation that offers a range of coding and marking equipment, will be acquired for an initial €4m (£3.56m).

Including its net tangible assets, the total cost is expected to reach around €7m. Domino is set to pay this in annual cash installments in a period up to three years.

Porto-based Marque TDI has been distributing Domino equipment into the Portuguese market since 2002. It had previously offered Domino's range of small character Continuous Ink Jet (CIJ) printers, but will now distribute the company's full product portfolio.

Labeljet's consolidated gross assets stood at €5.2m on 31 December 2008, while sales in the year to 31 December 2008 reached €7.8m. Operating profits across the 12 months were €1.6m.

Domino group managing director Nigel Bond said: "Marque has built an enviable record for customer service and occupies a leading position in the Portuguese market.  

"The acquisition will enhance profitability and provides a platform to sell a wider range of products."

Last year, Domino acquired thermal inkjet manufacturer Alternative Printing Services (APS) – the group's fourth move within a year, following the purchase of Control Information Technology in October 2007 and Domino's Belgian distributor in November 2007. The company acquired Photon Energy in June 2008.

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