True Food Kitchen files for Chapter 11 bankruptcy

True Food Kitchen, a wellness-focused restaurant chain backed by Oprah Winfrey, has filed for Chapter 11 bankruptcy protection. The Phoenix-based company is carrying approximately $42.1 million in debt.

As part of the restructuring process, the chain has permanently closed 12 locations across several states, including California, New York, and Illinois, reducing its footprint by roughly a quarter. The remaining 34 restaurants will continue to operate. HumanCo has committed $20 million in debtor-in-possession financing to support operations during the court-supervised sale process as the company searches for a long-term buyer or financial partner.

The company attributed its financial difficulties to management turnover, strategic missteps, and expansion challenges. While the brand saw significant growth in previous years, the COVID-19 pandemic disrupted its momentum. The filing comes shortly after the appointment of former Hopdoddy CEO Jeff Chandler as chief executive.