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Chipotle became the subject of a viral online rumor that alleged the restaurant chain was closing this year. On March 20, 2025, Unión Rayo published an article claiming that Chipotle was shutting down while reporting on the closure of its spinoff Farmesa Fresh Eatery, which the company invested in back in 2023. So, does this mean that Chipotle is closing down?
In the article published by Unión Rayo, Farmesa Fresh Eatery’s closure was attributed to a lack of popularity in comparison to Chipotle.
“Despite carrying an innovative healthy food concept, not many people recognized that Farmesa belonged to Chipotle, since the latter is synonymous with high-calorie food rather than salads,” one excerpt from the article read. “Perhaps the marketing department did not play its cards well in this regard. On the other hand, Farmesa operated only in California (expecting, of course, to expand to other states), but the competition was much greater, as companies like Sweetgreen and Cava already dominated that sector.”
Find out what Chipotle said in response to the closure rumors below.
Thank you for reaching out. This information is completely false and in fact Chipotle is rapidly growing. To get the latest information on Chipotle’s financial news, please visit https://t.co/RCb1DiJ3OY-Huda
— Chipotle (@ChipotleTweets) March 25, 2025
Is Chipotle Filing for Bankruptcy?
No, Chipotle has not filed for bankruptcy. Company spokesperson Erin Wolford shut down the report in a statement obtained by USA Today, which read, “The false information stemmed from an inaccurate online article confusing Chipotle with a venture it tested in 2023. The story has since been corrected.”
Is Chipotle Closing in 2025?
No, Chipotle is not closing. The chain’s spokesperson refused the rumor, calling it “false” and noted that the original report published by Unión Rayo “has since been corrected.” Per USA Today, Chipotle had reached out to Unión Rayo and received an apology for the “false article.”
What Businesses Closed in 2025?
Though Chipotle is definitely not shutting down, rumors of business closures has become an unfortunate norm in recent years. Most recently, the retail stores JoAnn Fabrics and Forever 21 shuttered its stores across the United States.
Forever 21 filed for bankruptcy for the second time earlier this year. In 2019, the fashion retailer entered bankruptcy for the first time but managed to temporarily stay afloat until early 2025.
