Oprah-backed food chain puts bankruptcy on the menu

Two ventures bearing Oprah Winfrey’s name have announced closures in recent months. Alas, it seems that even the Oprah seal of approval has its limits.

True Food Kitchen, the US restaurant chain backed by the media mogul, has filed for Chapter 11 bankruptcy protection and shut 12 restaurants. The move follows July’s announcement that her South African girls’ school will close at the end of the 2027 academic year.

The restaurant chain’s remaining 34 venues across 14 US states continue to trade while the company seeks a buyer through a court-supervised sale.

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A famous backer, a familiar business problem

Winfrey invested in True Food Kitchen in 2018 and joined its board, lending her considerable profile to a business built around healthy dining.

She has since left the board but remains a minority investor, a spokesperson told Business Insider.

The chain’s troubles include leadership churn, repeated changes to its brand and menu, and spending on ventures that strayed from its original purpose. Its court filings also cite the pandemic’s effects and weak traffic at some restaurants.

The chain has about AU$60 million in debt, according to reporting on its bankruptcy filings.

Of course, let's not forget the curious clash between Winfrey’s investment portfolio and her medicine cabinet. She backed True Food Kitchen in 2018; years later, she began taking a GLP-1 weight-loss medication and has said it quieted the constant pull of food.

A restaurant investment depends on, well, food, people's appetites, and their desire to eat it, something Oprah's medication aims to numb. 

Another change in Winfrey’s portfolio

The bankruptcy comes months after Winfrey announced that her South African school, the Oprah Winfrey Leadership Academy for Girls, would close at the end of the 2027 academic year.

As Mediaweek reported in July, Winfrey established the academy near Johannesburg after meeting former South African president Nelson Mandela. It opened in 2007 and has produced about 1,000 graduates from disadvantaged backgrounds.

The school’s closure forms part of a separate transition in Winfrey’s education philanthropy. Students who have not graduated when it closes will be offered full scholarships elsewhere, while Winfrey plans to continue funding girls’ education through scholarships.

A representative for the academy denied speculation that mismanagement was behind the closure.

The next course: finding a buyer

At True Food Kitchen, chief executive Jeff Chandler says restructuring will let the company simplify operations and refocus on food and hospitality.

“We are confident this step will help us build a stronger True Food Kitchen for the future,” he said.

The company is seeking a long-term owner with the resources to support the brand. Any sale will require court approval.

Chandler also acknowledged the impact on employees at the closed restaurants, thanked them for their contributions, and said the company would provide information about resources and next steps.