The next 12 months will be a "year of surprises", and could include a major takeover on the Irish market, a further strengthening of the Republic's economy, and a decision by Britain to remain out of the euro indefinitely, Ulster Bank said last night.
Ulster Bank Investment Managers senior economist, Mr Eoin Fahy, said it was "amazing" that none of the top 10 Irish companies were the subject of takeover bids last year.
"A very possible surprise, therefore, is that one or more of the very largest Irish companies will be bought out for a large premium," he commented. "We haven't seen that in Ireland since the contest for Irish Distillers more than a decade ago."
He predicted that many of those overseas analysts who have thus far been sceptical about the performance of the Irish economy will recognise their error. Such a change of heart would represent very good news for the Irish stock market, he added, with demand boosted by overseas fund managers.
There is also a possibility that the ruling British Government, if it loses seats in the European elections, could postpone Britain's entry to the euro.
