While full details are yet to be released, it is expected that IAC will sell up to 20 per cent of The Match Group’s equity via IPO before the end of this year. Diller will retain control of the company following the IPO. Where shares will be listed has not been specified.

The Match Group generated just over £152m in the first quarter of this year, which accounted for 31 per cent of IAC’s total Q1 revenue. Of that, £134m came from Tinder, OKCupid and Match.com.

While IAC’s dating websites account for the bulk of The Match Group’s revenue, the company’s brands include around 50 popular internet sites, including About.com, Ask.com, Investopedia, The Daily Beast and Vimeo.

Markets responded positively to the move. IAC shares rose by seven per cent to a record high following the announcement.

“Over the last two decades, IAC and its progeny have grown into seven separate public companies with a current shareholder value of over $44bn,” said Diller.

“Given that we started with a base of $275m, it’s a more than satisfactory record.”

Greg Blatt, chairman of The Match Group, said “the dating industry has come a long way since its inception, but the category remains underpenetrated.

“We believe the natural expansion of the market and our portfolio approach to capturing it provide a strong foundation for our future success.”