For Dunne, who created waves by sharing the lead after three rounds at British Open in 2016 while still being an amateur, it was his career's first Pro title. He had also finished second as a pro in Trophee Hassan II this year.
Dunne was flawless in the final round and had seven birdies and an eagle on par-5 sixth, while McIlroy had eight birdies against one bogey.
Dunne held off a late charge from McIlroy. The Irishman turned in 30 to lead by three at Close House Golf Club and looked to be cruising to victory before World Number 6 McIlroy birdied five of his last seven holes in a 63 to get to 17 under.
That gave Dunne a one-shot lead with two to play but a birdie on the 17th eased the pressure and the 24 year old chipped in on the last for a 20 under par total and a three- shot victory.
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