SLB Schlumberger Ltd

LONDON—The Russian financiers who are the main shareholders in Eurasia Drilling Co. have backed a sweetened offer to take Russia' largest onshore oil-drilling company private in a deal valuing the business at $1.7 billion.

Alexander Djaparidze, EDC's chief executive, and Alexander Putilov have stakes of 31.06% and 22.71% respectively in the company.

EDC said on Monday that a group of executives and shareholders have improved their buyout offer by nearly 18% to $11.75 a share from $10 a share offered last Thursday after consulting with a special board committee charged with reviewing the deal's merits. A company spokeswoman said that the new offer reflects the fair value for the company,

EDC had previously hoped to sell a stake for $1.7 billion to Schlumberger, the largest oil-services company in the world, after being buffeted by the share drop in oil prices which has created turmoil in the oil industry.

Schlumberger Ltd. last month walked away from the deal after waiting more than six months for Russian antitrust approval.

EDC executives and core shareholders own around 71% of the company and would buy the 29% stake that that don't already own for about $493 million.

At least two-thirds of Eurasia Drilling's minority shareholders who aren't involved in the deal need to vote in favor of the transaction on Nov 13 for the transaction to go ahead.

Eurasia Drilling's global depository receipts, traded in London, were up 9.1% at $11.35 a share following the buyout-offer news.

Write to Alex MacDonald at alex.macdonald@wsj.com and Selina Williams at selina.williams@wsj.com

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(END) Dow Jones Newswires

October 12, 2015 05:05 ET (09:05 GMT)

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