Shareholders believed to be opposed to Mr Noel Smyth's offer for Dunloe now control more than 45 per cent of the company, making it virtually impossible for the Dublin solicitor's 42.5 cent per share offer for the property group to succeed.

The firm's largest shareholder, Mr Liam Carroll, disclosed yesterday that he owns 28.98 per cent of the property group after buying shares in the market on Thursday at a price of 43 cents per share.

Mr Dermot Desmond has also upped his stake, held through a number of investment vehicles, to 9.64 per cent through the purchase on Thursday of 3.2 million shares.

He also bought at 43 cents, just above the offer price. Because the shares have been trading above the level of his bid, Mr Smyth has been precluded from adding to his 26.1 per cent stake by buying up shares in the market.

Meanwhile, Mr Phil Monahan holds a 6.7 per cent stake in Dunloe. If the bid is opposed by all three large shareholders, it would make it next to impossible for Mr Smyth to gain the 50.1 per cent acceptances needed for him to take control of the company.

A further 24 million Dunloe shares, or more than 6 per cent of the company, traded yesterday as the stock added two cents to €0.45. But it is likely to be next week before the identities of the buyers become known.

However, market sources said there were "two decent-sized buyers in the market".

While Mr Carroll and Mr Desmond disclosed their purchases on Thursday, it remains unclear who bought the other three million shares traded on that day and the three million traded the previous day.