Probably functions as a cell separation enzyme in addition to LytE and LytF. Hydrolysis of gamma-D-glutamyl bonds to the L-terminus (position 7) of meso-diaminopimelic acid (meso-A2pm) in 7-(L-Ala-gamma-D-Glu)-meso-A2pm and 7-(L-Ala-gamma-D-Glu)-7-(D-Ala)-meso-A2pm. It is required that the D-terminal amino and carboxy groups of meso-A2pm are unsubstituted. Optimum pH is 6-7 without NaCl at 37 degrees Celsius. Optimum temperature is 48 degrees Celsius in 50 mM MOPS-NaOH buffer (pH 7.0) without NaCl. Localized at cell separation sites and cell poles during late vegetative phase. Transcribed during the late vegetative and early stationary phases. LysM domains are thought to be involved in peptidoglycan binding. The cell shape is not significantly different from that of the wild-type. Belongs to the peptidase C40 family.