On The Border closes in Texarkana as chain shutters all company-owned restaurants
The On The Border in Texarkana has closed as the Tex-Mex chain shut down all company-owned restaurants nationwide, leaving only five U.S. franchise locations open.
TEXARKANA, Texas — The On The Border Mexican Grill & Cantina on St. Michael Drive has closed, one of dozens of company-owned restaurants the Tex-Mex chain shut down across the country Friday, leaving only a handful of independently run franchise locations open.
The Texarkana restaurant at 4300 St. Michael Dr. served its last customers Friday, June 12, ending the local run that employees first revealed on social media earlier in the week. The closure was part of a sweeping, sudden shutdown that ended On The Border’s company-owned operations nationwide.
In a statement, the company said the move followed “a thorough evaluation of the business and was not made lightly.” It added: “We are currently evaluating the future of the On The Border brand and exploring a range of strategic options.”
Every corporate-owned location shut its doors by the end of business Friday. The only restaurants still operating are franchise locations that are independently owned and run separately from the parent company.
Five U.S. franchises remain open
Five franchise restaurants in the United States survived the shutdown, in South Dakota, Nevada, Southern California and Florida, along with a location in South Korea. None is in Texas, and the nearest to Texarkana is more than 1,000 miles away.
A 44-year run ends
The shutdown closes the book on a 44-year run for the Dallas-born brand and comes just over a month after its new owner declared the chain’s comeback.
On The Border filed for Chapter 11 bankruptcy in March 2025 with more than $25 million in debt, closing 77 underperforming restaurants across 24 states. Houston-based Pappas Restaurants, the family-owned group behind Pappadeaux Seafood Kitchen and Pappasito’s Cantina, bought the chain at a bankruptcy auction that May.
On May 1 of this year, Pappas formally welcomed On The Border into its portfolio, touting a sweeping menu overhaul and promising to honor the brand’s heritage. Within weeks, locations began going dark, and on Friday the company-owned restaurants closed for good.
On The Border opened its first restaurant in Dallas in 1982 and grew to more than 150 locations at its peak.
Pappas Restaurants has not said whether it will sell, relaunch or retire the brand. TXKtoday will update this story as more information becomes available.