Border Holdings, L.L.C. will acquire On The Border Mexican Grill & Cantina from Golden Gate Capital, a San Francisco-based private equity firm. Financial terms of the agreement were not disclosed.
A leading full-service Mexican restaurant chain, On The Border owns and operates 121 units across the United States and franchises 36 units in the United States, Puerto Rico, Saudi Arabia and South Korea. The brand’s signature menu items include mesquite-grilled fajitas and large margaritas.
Border Holdings is an affiliate of Argonne Capital Group, an Atlanta-based private investment firm, which is partnering with an affiliate of Fortress Investment Group, L.L.C. on the transaction. Argonne Capital Group’s portfolio includes Krystal Co., a hamburger restaurant chain; Stevi B’s, a national pizza buffet; and franchisees of IHOP and Applebee’s.
“We see a tremendous amount of strength in the On The Border brand and are confident that the company’s unique menu and atmosphere will appeal to a broad demographic as we look to expand this chain nationwide,” said Karl Jaeger, managing director at Argonne Capital Group. “We are excited to once again partner with Fortress in this transaction and look forward to supporting the company’s existing management team in their on-going efforts to further enhance and grow the company.”
