The field for a Victorian Liberal leadership showdown is firming after one contender pulled out and another clinched his marginal seat.

Former shadow attorney-general John Pesutto has reclaimed the inner Melbourne seat of Hawthorn, paving the way for him to run to replace Matthew Guy as opposition leader.

Mr Pesutto moved almost 1000 votes ahead of teal independent Melissa Lowe as pre-poll absentee ballots rolled in.

With nearly 80 per cent of votes counted, Ms Lowe conceded to Mr Pesutto on Wednesday afternoon.

Smith throws support behind Battin

Long-standing Warrandyte MP Ryan Smith earlier withdrew his candidacy and thrust his support behind Berwick MP Brad Battin, who he said would make an outstanding leader.

“With consideration and after discussions with Brad Battin, I have concluded that our vision for the party and our approach to the next four years are closely aligned,” Mr Smith said on Wednesday.

“Dividing support for that positive agenda is counterproductive.”

Mr Guy’s successor is slated to be confirmed next week, when he calls the Liberal parliamentary party room together to elect his replacement following Saturday’s crushing loss.

Upper house MP approached to stand

The third nominee to declare their candidacy is Polwarth MP Richard Riordan.

Several Liberal MPs have also approached transport infrastructure spokesman and upper house MP Matt Bach to suggest he consider standing.

It would mean Mr Bach moving to the lower house within three months of assuming the post in keeping with an internal rule, unless a majority of the party room agrees to amend its constitution.

Sandringham MP Brad Rowswell will put his hand up to be deputy leader, while South-West Coast MP Roma Britnell and incoming Kew MP Jess Wilson have also been floated as potential deputy nominees.

Nationals buoyed by poll success

As Liberal leader contenders canvass support, a boosted Victorian Nationals party room met on Wednesday to confirm its team.

Murray Plains MP Peter Walsh was endorsed to remain leader, with Emma Kealy to remain his deputy after replacing retiring Euroa MP Steph Ryan in July.

Eastern Victoria MP Melina Bath will continue as the party’s leader in the upper house.

The Nationals picked up the lower house seats of Shepparton, Morwell and Mildura on Saturday and are on track to clinch a second upper house seat, taking their total of MPs from seven to 11.

It means the Nationals will be entitled to an extra shadow cabinet position if they remain in coalition with the Liberals.

Mr Walsh confirmed the future of the Coalition agreement would be discussed but not until after the Liberal leadership team was finalised.

He believes the Coalition should not cut ties despite the Nationals regaining party status.

“I would be very disappointed if we couldn’t show that we can work together,” Mr Walsh told reporters at state parliament.

-AAP