The dentate gyrus is part of the hippocampal formation . It serves as the primary afferent area to the hippocampus. It contains granule cells , which project to the pyramidal cells of layers CA2-4 of the hippocampus. The granule cells , principal excitatory neurons in the dentate gyrus, recieve inputs from areas in the neocortex. Most of these inputs are provided by the perforant path , the axons of spiny stellate cells at the entorhinal cortex. The perforant path is divided in the medial perforant path and the lateral perforant path generated respectively at the medial and lateral portions of the entorhinal cortex. The medial perforant path synapses onto the proximal dendritic area of the granule cells , while the lateral perforant path does it onto the distal dendrites of these same cells.