Element Fresh Files for Bankruptcy Protection, Plans to Liquidate Assets

China casual dining and health food stalwart Element Fresh (新元素) is filing for bankruptcy protection with plans to liquidate its assets, the company informed employees in a letter dated Dec 14.

Founded as a juice bar and health food store by two Americans in Shanghai in 2001, the restaurant chain opened its flagship location in Shanghai Centre the following year. Just before the 2008 Olympics, the company expanded to Beijing with its first location in Sanlitun's Taikoo Li, and since expanded to multiple locations in the capital.

The chain has nine Beijing locations listed on its website, along with 13 locations in Shanghai, two each in Chengdu, Shenzhen and Guangzhou, and one each in Hangzhou, Suzhou and Nanjing.

Element Fresh was a pioneer in Western casual dining and promoting healthier menu options. The company was a long-time partner of the China Open tennis tournament, and at one time featured menu items developed in partnership with tennis star Li Na. Nine Element Fresh locations were in operation in Beijing at the time of the announcement, just under half of the company's total throughout China.

During its time in Beijing, Element Fresh won numerous Beijinger Restaurant Awards, including Best Sandwiches and Best Salads. Its locations with terraces were popular for both outdoor dining and drinking.

In the letter to employees, New Elements Food & Beverage Management, which owns and operates Element Fresh, stated that it had encountered operational difficulties since the beginning of 2020, and that it planned to close all of its locations and other catering kitchens. The company will maintain operations until January 1, 2022.

Element Fresh representatives were not immediately available for comment. To date, it remains to be seen if and when all of Beijing's Element Fresh locations will close.

The announcement is the second blow to China's foreign dining scene this month. Earlier in the week, M Restaurant Group, which formerly operated Capital M in Qianmen, announced it would close its remaining two locations in China, Shanghai's M on the Bund and Glam, effective Feb 15, 2022. Capital M closed on Sep 17, 2017.

"M on the Bund, Glam, Shanghai, and China have been a very large part of my life. Something of them will remain in my very essence. But restaurants belong to the people they serve, and in the end it is the memories that remain. I'm proud to have left an indelible mark on this city. and this community," M Founder Michelle Garnault said in a statement released on Dec 14.

Images: The Beijingers, tripadvisor.com.uk