Houthi rebels claimed the vessel was hit near an island in the Red Sea and its crew rescued.
The Indian embassy in Yemen is verifying reports that 14 Indian nationals were aboard a yacht targeted off the Yemeni coast.
A Houthi military spokesman claimed Saudi forces attacked the yacht near Yuqar Island in the Red Sea, and said Houthi forces were rescuing the 14 Indians on board.
The embassy said it had contacted various parties but exact information was not yet available, and it would share updates once facts were confirmed.
The incident comes amid escalating hostilities between the Houthis and Saudi Arabia. An Indian national was killed in an attack on a Saudi airport earlier this week.
