Skip to content
Back to search

Is On the Border Owned by Private Equity?

Not anymore — On the Border was owned by Golden Gate Capital, which acquired it in 2010, but the firm has since exited. The effects of that ownership can linger.

FORMERLY PE OWNED

On the Border

Includes On the Border Mexican Grill & Cantina, OTB

casual dining · Irving, TX

Acquirer
Golden Gate Capital / Argonne Capital Group / Fortress Investment Group
Year Acquired
2010

Three PE firms passed On the Border around like a hot queso dip, Golden Gate bought it, Argonne grabbed it, and Fortress watched it go bankrupt.

What Happened

  1. Golden Gate Capital bought On the Border from Brinker International for $180 million in 2010, separating it from the Chili's parent company
  2. Sold to Argonne Capital Group and Fortress Investment Group in 2014 — the second PE owner in four years
  3. 40 locations closed in February 2025, weeks before the chain filed Chapter 11 bankruptcy in March — leaving roughly 60 restaurants, down from a peak of 166 in 2007
  4. Sold out of bankruptcy to Pappas Restaurants in May 2025 for an undisclosed amount — ending 15 years of PE ownership that shrank the chain by nearly two-thirds

The Damage Done

  • 40 locations shuttered in a single February — families showed up for margarita night to find locked doors and no warning
  • A Tex-Mex chain that peaked at 166 locations in 2007 shrank to about 60 by the time PE was done in 2025. In June 2026, new owner Pappas closed every company-run location, leaving just a handful of franchises.
  • For loyal customers in markets that lost their On the Border, the closest fajita plate is now a lot farther away — if it exists at all

Sources

See something wrong?

Also owned by Golden Gate Capital

View Golden Gate Capital profile →

Also PE-touched in Restaurants

Chuy's, Red Lobster, Panera Bread, and TGI Friday's.

Browse all Restaurants →

We’ll keep you posted

New companies, new receipts. No spam.

What people ask

Is On the Border owned by private equity?

Not anymore. On the Border was formerly owned by Golden Gate Capital starting in 2010, but the firm has since exited. The effects of PE ownership often linger.

What happened to On the Border after the acquisition?

40 locations shuttered in a single February — families showed up for margarita night to find locked doors and no warning A Tex-Mex chain that peaked at 166 locations in 2007 shrank to about 60 by the time PE was done in 2025. In June 2026, new owner Pappas closed every company-run location, leaving just a handful of franchises.

Who owns On the Border?

On the Border is owned by Golden Gate Capital, which acquired it in 2010.

Next squeeze →

Albertsons

“Cerberus bought it for $350M, loaded it with debt, and tried to cash out $4 billion.”

Cerberus Capital Management · grocery