Rx Owner Sells His Baby
Christopher Costigan,
www.sports911.com
Dr. Kenneth Weitzner (AKA The Shrink) started his website through America Online Line back in 1996 as a free newsletter that later started charging $8 a month to cover the AOL billing charges. He lost half of his 400 subscribers. The site has since blossomed into the single most popular sports betting information portal on the Net today. After years of courting potential buyers, Dr. Weitzner finally decided the time was right.
"While I cannot disclose the exact figure, I can say that TheRx.com sold for a nice amount," said Weitzner.
Even back in January of 2000 when Yours Truly first joined TheRx.com (then called The Prescription but even then referred to by its current name), we were still a relatively small website. I say "We" because The Shrink and I were often thought of as "inseparable". Sports911.com (Gambling911.com) in many ways grew grew out of the Prescription and to this day it remains one of the most influential websites covering the gamut of offshore gambling.
Most would agree that the Prescription really made its mark in the industry around February 2000 during our "exclusive" coverage of the Jay Cohen Trial (World Sports Exchange). Nowhere else could anyone in the industry read about the trial the way that Ken and I covered it. He and I would literally run home and write our reports. As we later found out, even the prosecuting attorneys and FBI agents began reading the Prescription.
One of the funniest moments I can recall is when Mark Balestro of the River City Group informed us how the supervising FBI agent attending this trial asked "Are you Sting?" (referring to me of course) when he requested to review a stack of documents sitting on a table. Thankfully I was absent that day. Later on in the trial, one of the prosecuting attorneys became so incensed with our reporting that he asked to have the Shrink and I removed from the court room. We were able to stay!
When the trial ended it was time for me to head back to working long term temporary paralegal assignments. The Shrink did not want to see me go back to a 9 to 5 (in my case more like a 9 to midnight, 7 days a week) as he knew I would not be able to devote the time and energy I had during the month of February. As it turned out the owner of BetonSports.com (then NASA Sports International) did not want to see me go either.
In early 2000, BetonSports had already seen the value a site like the Prescription brought to the table. At the time we were primarily a news site that contained only a mildly popular posting forum. BetonSports decided they wanted a high profile advertising presence on the website while also realizing a need to develop a much stronger presence over the Web in general.
Because BetonSports knew that I had a Bachelor's Degree in Marketing, they agreed to pay half my Prescription salary for a six month period in exchange for assisting them in finding new online websites in which to advertise on while training others how to do the same.
During those six months, offshore sports book owners seemingly came out of the woodwork wanting to advertise at The Prescription. By mid 2000, The Shrink was finally able to pay my measly salary on his own (okay it was pretty decent I suppose).
I ended up writing for The Prescription up until spring of this year, nearly 3 and a half years. It was time for me to devote full time attention to Sports91.com. The Shrink and I parted as friends and remain closer than ever today.
"It is very unusual in this day and age for two competing sites to remain so close and friendly," Weitzner commented.
So why did he decide to sell when TheRx.com is arguably more popular than it ever has been before (courtesy of an extremely active posting forum)?
"I received a very fair offer," he told us. "Also the timing was just right because the U.S. government appears to be directing its attention at gambling portals that accept advertising. I was also burnt out and did not feel like I've put in as much effort as I did in the early days."
During the first two years, The Prescription website was indeed a one man show. His first two advertisers were World Sports Exchange and SBD Global.
"I didn't know what to charge back then (in early 1997) so I asked for $2000 a year and when one of the owners agreed to this I asked 'Are you sure?' Both ended up paying and World Sports Exchange to this day remains an advertiser at TheRx.com.
Today the site employs about a dozen people, but it was still too much work for Dr. Weitzner.
"I have other priorities right now including my family, plus I love to travel and gamble. Now it is as if three quarters of my clothing have been stripped away and I am left in my underwear, something that I can live with. It is such a relief."
TheRx.com website was purchased by a Canadian entrepreneur named Marty Jensen, who also owns a handful of online casinos.
"This (new ownership) won't conflict with the nature of the website since we have always been primarily a sports betting enterprise and Marty does not maintain any sports betting interests," explained Weitzner.
Servers will be located in both Costa Rica and Canada. The sale will be a matter of public record when the details are finalized.
"I have always considered the Prescription my baby," said Weitzner. "I consider it in some ways more important than anything else in the world. It's a reflection of myself and this baby has grown into an adult I can no longer care for."
As part of the agreement, Dr. Weitzner will remain an employee indefinitely.
