Pop princess Britney Spears [Images] sparked rumours that she has a new man in her life after she was seen with a mystery man while holidaying in Mexico.

Spears recovered from the bitter custody battle with ex-husband Kevin Federline [Images], by sunbathing with pals on a beach in Mexico.

However, the rumours really started flying after she was seen dancing intimately with a guy.

The two were laughing and joking together as they mock ballroom-danced around the pool, with Spears showing off her newly toned and tanned body.

'Britney looked great in her bikini. She was having a whale of a time with this bloke (man), they seemed close,' Contactmusic quoted an onlooker as telling Britain's Daily Mirror newspaper.

The trip was taken just days after Spears agreed to a custody settlement with Federline.

Federline retains full custody of their young sons Sean Preston [Images] and Jayden James [Images], while she will pay him 20,000 dollars-a-month in child support.

Text: ANI | Photograph: Steve Finn