The cytosolic (cAAT) and mitochondrial (mAAT) isozymes of eukaryotic aspartate aminotransferase share a high degree of sequence identity and almost identical three-dimensional structure. The rat liver proteins can be refolded and reassembled into active dimers after unfolding at low pH. However, refolding of the mitochondrial form after unfolding at pH 2.0 is arrested in the presence of hsp70, whereas this chaperone does not affect the refolding of the cytosolic isozyme unfolded under similar conditions. To elucidate the nature of the differential interaction between hsp70 and the two transaminase forms, we have characterized their refolding from their acid-unfolded states. The recovery of activity of the cytosolic enzyme is monophasic and can be adequately described by a single first-order reaction. By contrast, two sequential first-order rate-limiting steps can be detected for the refolding and reactivation of the mitochondrial protein. The overall refolding pathway of mAAT includes a very fast collapse to an intermediate with 80% of the secondary structure of the active dimer. This is followed by a slow isomerization to form assembly-competent monomers that rapidly associate to form an inactive dimer and a final structural rearrangement of the dimer to the native conformation. Analysis of the interaction of hsp70 with intermediates along the folding pathway of mAAT shows that the polypeptide loses its ability to bind to the chaperone after it has proceeded through the first isomerization/fast dimerization steps. Thus it appears that only the first collapsed intermediate states in the folding of mAAT bind hsp70. By contrast a faster refolding of cAAT from this collapsed state could explain, at least in part, the inability of hsp70 to bind this isozyme.