by changes in the shareholding of their owner, Lonrho.

Some financial analysts in London believe a sale of Lonrho's assets could follow the decision of company chairman Mr. Tiny Rowland to sell his shares.

Mr. Rowland has disposed of half of his controlling interest in Lonrho to little-known German property developer Mr. Dieter Bock, who has an option to buy the remaining shares in three years.

That could leave the plush Princess Hotel, in Pembroke, and the Southampton Princess Hotel in a vulnerable position.

Lonrho is known to have made attempts to sell its Princess Hotels division during the last two years, but no buyer has been found.

But, with the world recession expected to end over the next six months, a buyer might now be easier to find.

The ownership change at Lonrho could act as a catalyst for a sale of Princess Hotels, which comprises eight guest properties -- two each in Bermuda, the Bahamas, Mexico and the US.

The Sunday Times newspaper, of London, quoted a stockbroker as saying: "Bock, whatever his skills as a property investor, can know little about Lonrho's African operations apart from what Tiny has chosen to tell him.

"It is difficult to see what he can bring to the party, other than a hunger for a speedy realisation of Lonrho's most saleable assets.'' But Mr. John Price, president of Princess hotels, said it was too early to say what the implications will be for the hotels division of the group.

"It's just a matter of waiting to see what happens,'' said Mr. Price.

Lonrho's directors have denied that Mr. Bock's arrival as the group's largest shareholder signals a wholesale clearout of Lonrho's prime assets, which also include The Observer newspaper, in London.

They argue that Mr. Bock will breathe new life into a company which had made mistakes and lost its way.

Mr. Bock, who bought half of Mr. Rowland's shares at a 60 percent premium, has gone on record as saying he intends to make Lonrho's business "a more logical fit over the next few years''.

He is reported as saying that he would strengthen the "independent management'' and consolidate the financial structure and earnings strength.