Catalyzes the hydrolysis of diacylglycerol in vitro and may function as a key regulator in lipid metabolism, namely by regulating the intracellular levels of diacylglycerol (PubMed:32579589). 1,2-diacyl-sn-glycerols are the preferred substrate over 1,3-diacyl-sn-glycerols (By similarity). The enzyme hydrolyzes stearate in preference to palmitate from the sn-1 position of 1,2-diacyl-sn-glycerols (By similarity). Maintains the functional lipoylation of the 2-oxoglutarate dehydrogenase complex (OGDHc) through its interaction with the OGDHc by preventing the formation of lipoyl adducts (PubMed:32792488). In addition, is also required for the expansion and differentiation of embryonic stem cells (ESCs) (By similarity).
