diff --git a/mgradm/shared/templates/pgsqlServiceTemplate.go b/mgradm/shared/templates/pgsqlServiceTemplate.go
index 20805d81446..351a737a71d 100644
--- a/mgradm/shared/templates/pgsqlServiceTemplate.go
+++ b/mgradm/shared/templates/pgsqlServiceTemplate.go
@@ -33,7 +33,8 @@ ExecStart=/bin/sh -c '/usr/bin/podman run \
 	--cgroups=no-conmon \
 	--shm-size=0 \
 	--shm-size-systemd=0 \
-	--sdnotify=healthy \
+	--sdnotify=conmon \
+	-d \
 	--name {{ .NamePrefix }}-db \
 	--hostname {{ .NamePrefix }}-db.mgr.internal \
 	--network-alias db \
@@ -67,8 +68,7 @@ ExecStopPost=/usr/bin/podman rm \
 PIDFile=%t/%n.pid
 TimeoutStopSec=180
 TimeoutStartSec=900
-Type=notify
-NotifyAccess=all
+Type=forking
 
 [Install]
 WantedBy=multi-user.target default.target
diff --git a/mgradm/shared/templates/serviceTemplate.go b/mgradm/shared/templates/serviceTemplate.go
index 824ac2ef344..c8744f4fd90 100644
--- a/mgradm/shared/templates/serviceTemplate.go
+++ b/mgradm/shared/templates/serviceTemplate.go
@@ -31,8 +31,9 @@ ExecStart=/bin/sh -c '/usr/bin/podman run \
 	--cgroups=no-conmon \
 	--shm-size=0 \
 	--shm-size-systemd=0 \
-	--sdnotify=healthy \
+	--sdnotify=conmon \
 	--systemd=always \
+	-d \
 	--name {{ .NamePrefix }}-server \
 	--hostname {{ .NamePrefix }}-server.mgr.internal \
 	{{ .Args }} \
@@ -86,8 +87,7 @@ ExecStopPost=/usr/bin/podman rm \
 PIDFile=%t/uyuni-server.pid
 TimeoutStopSec=180
 TimeoutStartSec=900
-Type=notify
-NotifyAccess=all
+Type=forking
 
 [Install]
 WantedBy=multi-user.target default.target
diff --git a/mgradm/shared/templates/templates_test.go b/mgradm/shared/templates/templates_test.go
index a90a6b9cedb..0bdc3808b1b 100644
--- a/mgradm/shared/templates/templates_test.go
+++ b/mgradm/shared/templates/templates_test.go
@@ -115,8 +115,9 @@ ExecStart=/bin/sh -c '/usr/bin/podman run \
 	--cgroups=no-conmon \
 	--shm-size=0 \
 	--shm-size-systemd=0 \
-	--sdnotify=healthy \
+	--sdnotify=conmon \
 	--systemd=always \
+	-d \
 	--name uyuni-server \
 	--hostname uyuni-server.mgr.internal \
 	--arg value \
@@ -158,8 +159,7 @@ ExecStopPost=/usr/bin/podman rm \
 PIDFile=%t/uyuni-server.pid
 TimeoutStopSec=180
 TimeoutStartSec=900
-Type=notify
-NotifyAccess=all
+Type=forking
 
 [Install]
 WantedBy=multi-user.target default.target
@@ -203,8 +203,9 @@ ExecStart=/bin/sh -c '/usr/bin/podman run \
 	--cgroups=no-conmon \
 	--shm-size=0 \
 	--shm-size-systemd=0 \
-	--sdnotify=healthy \
+	--sdnotify=conmon \
 	--systemd=always \
+	-d \
 	--name uyuni-server \
 	--hostname uyuni-server.mgr.internal \
 	--arg value \
@@ -238,8 +239,7 @@ ExecStopPost=/usr/bin/podman rm \
 PIDFile=%t/uyuni-server.pid
 TimeoutStopSec=180
 TimeoutStartSec=900
-Type=notify
-NotifyAccess=all
+Type=forking
 
 [Install]
 WantedBy=multi-user.target default.target
diff --git a/uyuni-tools.changes.oholecek.revert_notify b/uyuni-tools.changes.oholecek.revert_notify
new file mode 100644
index 00000000000..34ddca807bd
--- /dev/null
+++ b/uyuni-tools.changes.oholecek.revert_notify
@@ -0,0 +1,2 @@
+- Revert usage of sdnotify as it causes podman panic on SP7
+  (bsc#1270399, bsc#1270398)
diff --git a/uyuni-tools.spec b/uyuni-tools.spec
index 53f6878d68c..d4787bd62d2 100644
--- a/uyuni-tools.spec
+++ b/uyuni-tools.spec
@@ -116,7 +116,7 @@ Requires:       (netavark if podman)
 Requires:       openssl
 # suse_version
 %if "%{_vendor}" != "debbuild"
-Requires:       (podman >= 4.7.2 if podman)
+Requires:       (podman >= 4.5.0 if podman)
 %endif
 
 %description -n %{name_adm}