Abstract: A novel gene defining a novel enzyme in the UDP-D-galactose: &bgr;-N-acetyl-glucosamine &bgr;-1,4-galactosyltransferase family, termed &bgr;4Gal-T2, with unique enzymatic properties is disclosed. The enzymatic activity of &bgr;4Gal-T2 is shown to be distinct from that of previously identified enzymes of this gene family. The invention discloses isolated DNA molecules and DNA constructs encoding &bgr;4Gal-T2 and derivatives thereof by way of amino acid deletion, substitution or insertion exhibiting &bgr;4Gal-T2 activity, as well as cloning and expression vectors including such DNA, cells transfected with the vectors, and recombinant methods for providing &bgr;4Gal-T2. The enzyme &bgr;4Gal-T2 and &bgr;4Gal-T2-active derivatives thereof are disclosed, in particular soluble derivatives comprising the catalytically active domain of &bgr;4Gal-T2.