The phospholipase A2 (PLA2) activity of peroxiredoxin 6 (Prdx6) has important physiological roles in the synthesis of lung surfactant and in the repair of peroxidized cell membranes. These functions require the activity of a lysopholipid acyl transferase as a critical component of the phospholipid remodeling pathway. We now describe a lysophosphatidylcholine acyl transferase (LPCAT) activity for Prdx6 that showed a strong preference for choline as the lysophospholipid head group and for palmitoyl CoA as the fatty acyl substrate. The calculated kinetic constants for acylation were Km 18 mM and Vmax 30 nmol/min/mg protein; the Vmax was increased 25 fold by phosphorylation of the protein while Km was unchanged. Study of recombinant protein in vitro and in mouse pulmonary microvascular endothelial cells infected with a lentiviral vector construct indicated that amino acid D31 is crucial for LPCAT activity. A linear incorporation of labeled fatty acyl CoA into dipalmitoyl PC indicated that lysoPC generated by Prdx6 PLA2 activity remains bound to the enzyme for the reacylation reaction. Prdx6 is the first LPCAT enzyme with demonstrated cytoplasmic localization. Thus, Prdx6 is a complete enzyme comprising both PLA2 and LPCAT activities for the remodeling pathway of phosphatidylcholine synthesis or for repair of membrane lipid peroxidation.