Tonnage war in the Baltic Rederi AB Slite had great success with their first generation of car and passenger ferries servicing between Sweden and Finland and by the late 1970s the growing market demanded larger ships. Slite's first route within the Viking Line marketing company had been that between
Kapellskär and
Naantali but this route had since been clogged with Viking Line ships and received competition from
Silja Line's similar service between
Norrtälje and
Turku. As a first step to find new markets, Rederi AB Slite had sold their merely six years old
Apollo in 1976 and replaced her with the older
Apollo III, making 24-hour cruises between
Stockholm and
Mariehamn. The company still served the Kapellskär—Naantali route with their other ship, the 1972-built
Diana. But with four other Viking Line ships competing for the same cars and passengers on that route, Slite still needed to break new grounds to keep themselves profitable. In 1974, the two other Viking Line partners started operating the Stockholm—Turku route which proved to be quite profitable. In preparation for the new ten-year agreement of collaboration between the Viking Line partners to be settled in 1980, Slite made the decision to try to push out
Rederi Ab Sally from the Stockholm—Turku route with a newbuilding that would outmatch their current ship there, the
Viking 4.
Design and order The new ship was planned together with her contracted builders,
Meyer Werft,
Papenburg in
West Germany. This shipyard had built the
Apollo and the
Diana for Slite as well as four sister vessels for Rederi Ab Sally. The design greatly resembled the former ships but the newbuilding was larger in every respect. Among the distinguishing differences were the addition of a second car deck as well as a larger number of berths. The new ship was named
M/S Diana II af Slite and launching took place on March 31, 1979. ==Operational career==