True Food Kitchen, the health-focused restaurant chain with backing from Oprah Winfrey, filed for Chapter 11 bankruptcy protection in the Southern District of Texas, according to court records and a company announcement. The bankruptcy petitions were filed on October 4, 2026, and the company publicly announced the filing on October 5. Court filings show the business entered bankruptcy with about $42.1 million in funded debt, while the company said 34 restaurants in 14 states remain open.
The Scottsdale, Arizona-based chain said it is using Chapter 11 to keep operating while it tries to stabilize the business and sell it through a court-supervised process. Oprah Winfrey remains a minority investor, according to current reporting, but the company is majority-owned by HumanCo and Manna Tree.
Bankruptcy petitions were filed October 4
True Food Kitchen said on October 5 that it and certain affiliates had filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of Texas. The company said the filing is meant to strengthen its financial foundation, optimize its restaurant footprint and cost structure, and continue operational changes already underway.
Court records show the petitions were filed on October 4. A bankruptcy docket for True Food Kitchen Holdings, LLC lists a Chapter 11 petition filed that day, and a separate case entry for True Food Hospitality, LLC shows the voluntary petition was entered on October 4, with joint administration proceedings following on October 5. Manual source notes provided with this assignment say FRC Balance and eight affiliated debtors filed, and they caution against treating a shorter list of entities as complete.
The company did not claim the debt total in its public announcement. That figure comes from court filings cited in current reporting, which say the company entered Chapter 11 with about $42.1 million in funded debt. True Food Kitchen also said it secured a commitment for approximately $20 million in debtor-in-possession financing from HumanCo TFK IV, subject to court approval.
True Food Kitchen said 12 restaurants closed, with their final day of service on Sunday, October 4. It also said its remaining 34 restaurants across 14 states are open and serving guests as usual. In a restructuring FAQ posted on its website, the company said it is continuing to operate, that there are no Chapter 11-related changes to menu pricing, and that gift cards can still be used at its locations.
What the company has not published is a full closure list in that FAQ. The manual source notes say any state-by-state closure roundup needs stronger attribution because the company has not independently posted a complete list there. As a result, the broad closure map should not be presented as if True Food Kitchen itself confirmed every city and state in one place.
What customers can confirm directly from the company is narrower. Open restaurants are still taking reservations, delivery and catering orders, subject to local availability, according to the FAQ. The company also directed guests to its locations page for the latest restaurant status and to a court information line and case website for bankruptcy updates.
True Food Kitchen has tied the filing to a mix of operating and strategic problems that built over time. According to first-day reporting on the bankruptcy case, Chief Restructuring Officer Nathan Cook said the business had been under pressure since the COVID-19 pandemic, when profitability was hit as the chain was also growing. He also cited tests such as ghost kitchens and an off-site kitchen for delivery-only orders, which he said affected staffing and the guest experience.
Cook also said some dine-in locations struggled with lower-than-expected foot and car traffic, while other restaurants were hurt by changing market conditions and demographics. On top of that, he cited significant management turnover, along with shifts in growth strategy, brand strategy and menu offerings. Some investments, he said, were outside the company’s core mission and health-focused identity.
What comes next is central to the case. True Food Kitchen said it will pursue a court-supervised sale process aimed at finding a long-term partner with the resources and mission alignment to support the brand’s future. The company said it expects the financing commitment, together with cash from operations, to provide enough liquidity to sustain the business through Chapter 11 and the sale process.