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overcapitalize

[oh-ver-kap-i-tl-ahyz] /ˌoʊ vərˈkæp ɪ tlˌaɪz/
verb (used with object), overcapitalized, overcapitalizing.
1.
to fix the total amount of securities of a corporation in excess of the limits set by law or by sound financial policy.
2.
to overestimate the capital value (of a business property or enterprise).
3.
to provide an excessive amount of capital for (a business enterprise).
Also, especially British, overcapitalise.
Origin
1885-1890
1885-90; over- + capitalize
Related forms
overcapitalization, noun
Dictionary.com Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2014.
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Examples for overcapitalize
  • Third-party power plant developers have no incentive to overcapitalize or to build excess capacity.
British Dictionary definitions for overcapitalize

overcapitalize

/ˌəʊvəˈkæpɪtəˌlaɪz/
verb (transitive)
1.
to provide or issue capital for (an enterprise) in excess of profitable investment opportunities
2.
to estimate the capital value of (a company) at an unreasonably or unlawfully high level
3.
to overestimate the market value of (property)
Derived Forms
overcapitalization, overcapitalisation, noun
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition
© William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
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