Celebrity Mariah Carey and James Packer's Romance: 'It's Been Bubbling for Months,' Says Source "They're enjoying spending time with each other," says a source By Melody Chiu Melody Chiu Instagram Twitter Melody Chiu is a Senior Editor for PEOPLE. She has been with the brand since 2009, editing, writing and reporting across all entertainment verticals. She oversees PEOPLE's music and events coverage and has written cover stories on Taylor Swift, Selena Gomez, Melissa McCarthy, Blake Shelton and Sandra Oh. The Los Angeles native graduated from the University of Southern California and has appeared on Extra!, The Talk, Access Hollywood and Good Morning America. People Editorial Guidelines Published on June 23, 2015 05:10 PM Share Tweet Pin Email Trending Videos Photo: AKM-GSI Mariah Carey is back in the dating game – with a billionaire businessman! Over the weekend, the singer was photographed holding hands with James Packer, an Australian media mogul, in Capri, an island off the southern coast of Italy, and a source close to Carey tells PEOPLE the duo are “enjoying spending time with each other.” On vacation with their kids – including Carey’s 4-year-old twins Monroe and Moroccan (her kids with ex Nick Cannon) and Packer’s three young children with ex Erica Baxter – the pop star and her new beau were spotted relaxing on a yacht and indulging in Italian fare. Mariah Carey Says Ciao, Cara Takes a Joy Ride and You’ve Never Heard Snape like This Before Showing off her curves in a fitted dress, Carey dug into a pizza and shared a zucchini and clam fettuccine with Packer, 47, at Aurora restaurant. “They sat down and enjoyed their meal like any other romantic couple,” says an onlooker. According to a Packer source, the “brand new” relationship has “been bubbling for a couple of months.”