Simple question about Transforming

So, like many, I am enamoured by Mairsil and his potential shenanigans. I am wondering about caging [[civilized scholar]]. His ability allows him to loot, and if I discarded a creature, the card untaps and transforms. I am wondering does the ability still work with Mairsil, where I can tap, draw, discard a creature and untap. Or is the ability somehow canceled or cannot be activated because of the transform clause.

THANK YOU FOR YOUR TIME