Enzymatic acidolysis process was developed for modification of fully hydrogenated soybean oil (FHSO) by incorporation of caprylic acid, a medium chain fatty acid. Immobilized sn-1,3 specific lipase PyLip was used to modify FHSO to produce a new fat with improved physico-chemical and functional properties. PyLip mediated acidolysis resulted in 88% reduction of substrate triglycerides and 45.16% incorporation of caprylic acid in FHSO at molar ratio of 1:3 of FHSO and caprylic acid in 60 min reaction time. HPLC analysis revealed formation of mono-substituted and di-substituted TAGs post enzymatic acidolysis. Physical properties of synthesized lipid were studied using DSC and XRD and considerable change was observed in the final product compared to the starting material. The present study reports a faster acidolysis process in the presence of solvent enhancing the modification of FHSO with caprylic acid and having no side products formation (monoglycerides and diglycerides) making the entire process highly efficient and commercially attaractive.