According to Palladian, the move is expected to help it grow its business as a "communications company" that offers clients a one-stop shop for print and online services.
Dominion, which was established in 1994 by WSS Group, will be merged with Pinstripe Creative, the multimedia division of the Palladian Group.
Both companies will continue to trade under existing names and operate from Palladian's Colchester premises following the acquisition, completed on 31 December 2008.
Paul Douglas, managing director of Palladian Press and Pinstripe Creative, said the deal provided "a wonderful platform and a cross-fertilisation of services".
He said: "We believe that we have to become a communications company while investing wisely to stay ahead."
Douglas said the bringing together of each company's clients will help Palladian Group "offer the best value of money to both".
"This is a development that will not only give customers of both companies greater choice and value, but it is also one that clears a path to the forefront of the multimedia industry," he added.
Palladian Press buys internet group Dominion
Palladian Press has bolstered its web and multimedia services arm after acquiring fellow Colchester-based web design and internet company Dominion.
