This Mexican Chain Restaurant Is Closing More Locations After Failing To Come Back From Bankruptcy

The hits just keep on coming for the restaurant industry in 2026, with news that another chain that hoped to stay afloat after filing for bankruptcy is now closing more locations. Six major restaurant chains have closed if not scaled back in 2026 so far — from Joe's Crab Shack to Smokey Bones. Now, you can add On the Border Mexican Grill & Cantina to the list.

In 2025, On the Border filed for Chapter 11 bankruptcy and closed multiple locations across the country. While things were looking grim for the once-popular Mexican eatery, it was plucked from the brink when Pappas Restaurants Inc. took control. For a time towards the end of last year, On the Border was still hanging on, but it seems the tide has turned once more.

Reports indicate that more On the Border locations will be shutting down, but it's unclear if this only affects Texas locations or more across the country. Some managers believed every location will be closing as early as Friday, June 12, effectively ending the chain as a business. Others had not heard any news from Pappas, but this may be due to how the parent company is informing staff.

The current news follows on the heels of May 2026 closures in Colorado and Illinois. While news of Pappas taking over came in 2025, the company only officially announced that it had welcomed On the Border into the fold that same month, shortly before the first locations shut their doors.

As part of Pappas' acquisition of On the Border, the company introduced menu changes and "enhanced food quality, strengthened operations and elevated the overall guest experience," according to an official press release. This new round of closures represents something of an about-face to the statement that the plan was "to evolve the brand for loyal guests, both old and new."

News agencies reached out to On the Border managers on Wednesday, June 10, and were told the restaurants would close on Friday, though even that timeline was tentative. "We are trying to stay open for Thursday and Friday but after that, we're closing," one manager told Chron. The stores themselves only got word on Wednesday morning.

On Facebook, reports indicate that at least one Pennsylvania location is closing, but this has not been confirmed. The Concord Mills location in Concord, North Carolina is reportedly closing as well. One Wichita, Kansas location closed last week, but the official On the Border Facebook account reported the second Wichita location would remain open. However, that same location confirmed by phone that it will be closing. One Facebook user claiming to be an employee believes every location is closing nationwide.

Because an official announcement hasn't been made, there is still some confusion about which locations may remain open. Several restaurants contacted by Tasting Table in Michigan and New Jersey also reported that Friday will be their final day of operation. While the website still lists multiple restaurants as open, that may not be the case much longer. So if you want one of the best chain restaurant margaritas, get to your closest On the Border location before close on Friday night.