SMS Panther was one of six Iltis-class gunboats built for the German Kaiserliche Marine (Imperial Navy) in the late 1890s and early 1900s. The ships were built to modernize the German gunboat force that was used to patrol the German colonial empire. They were ordered in three groups of two ships, each pair incorporating design improvements. Panther, along with Eber, was armed with a main battery of two 10.5 cm (4.1 in) guns, had a top speed of 13.5 knots (25.0 km/h; 15.5 mph), and could cruise for 3,400 nautical miles (6,300 km; 3,910 mi).
Panther spent most of her career abroad, where she was involved in a number of international disputes. She was initially sent to the East American Station after entering service in 1902, and she was soon sent to intervene in the Markomannia incident, where she sank the Haitian gunboat Crête-à-Pierrot. Panther was next involved in the Venezuelan crisis of 1902–1903, during which she participated in the bombardment of Fort San Carlos. Panther returned to Haiti in 1904 to pressure the Haitian government to pay a settlement after an attack on a German diplomat in the country. In 1905 and 1906, the ship toured South America, steaming as far south as Paraguay. She was transferred to German West Africa in mid-1907.