From Longman Business Dictionaryovercapitalizedo‧ver‧cap‧i‧tal‧ized /ˌəʊvəˈkæpɪtl-aɪzd◂ˌoʊvər-/ (also overcapitalised British English) adjective ACCOUNTINGFINANCE if a company is overcapitalized, it has more capital than it needs for its activities and investment plansThe company is already overcapitalised, so it hardly needs more cash for its expansion. —overcapitalization noun [uncountable]Government farm programs have led to the overcapitalization of agriculture.