AtheroGenics has entered into a collaboration with Fujisawa Pharmaceutical Co. Ltd. to develop an oral treatment for the prevention of organ transplant rejection.

The collaboration will combine the work Atlanta-based AtheroGenics has done on treatments for chronic inflammation with Fujisawa’s transplant rejection therapies.

Under the agreement, AtheroGenics and Fujisawa will collaborate to conduct preclinical and early stage clinical development trials. Fujisawa will fund all development costs during the term of the agreement and receive an option to negotiate for late stage development and commercial rights to the compound.

“This collaboration accomplishes our goal of creating a partnership with a world-class pharmaceutical company to develop this novel drug therapy for treating organ transplant rejection,” said Russell Medford, president and CEO of AtheroGenics. “Fujisawa’s leadership position in developing and marketing therapies for the management of transplant rejection makes it an ideal partner for AtheroGenics as we move — forward in clinical trials.”