The United States said that the cargo ship hit by missiles fired by Houthi fighters in Yemen was going to Iran.
On Tuesday, US Central Command (CENTCOM) said the MV Star Iris was going through the Red Sea towards southern Iran.
Houthis said in a statement that the vessel which is US-linked, was hit while travelling in waters off Yemen.
It added that the ship was closely monitored and targeted with strikes.
Israel identified ships have been a target for houthis, the US or United Kingdom in the Red Sea in recent times as isrealis continuous attack on Gaza has delayed trade between Europe and Asia.
Houthis spokesman,
Yahya Saree, confirmed the attack on the vessel, owned by the US-listed, Greece-based firm Star Bulk Carriers Corp, came in support of the Palestines.