1. Fatty acids and monoglycerides diffuse into epithelial cells of ileum down concentration gradient
2. In cells, fatty acids and monoglycerides are re-esterified into triglycerides in smooth ER or Golgi
3. Triglycerides or chylomicrons (with proteins) are packaged into vesicles
4. Vesicles fuse with cell membrane and contents are released by exocytosis
5. Lipids enter lymphatic system via lacteals and are transported to bloodstream