Hezbollah has claimed responsibility for an anti-tank missile fired at an Israeli military vehicle in Shebaa farms on the border with Syria and Lebanon.
Reports of Israeli casualties were conflicting, with Israeli media reports saying four soldiers were wounded as a result of the attack, while other sources said four were killed and several more injured in Wednesday's strike.
The Israeli government has yet to confirm any casualties.
In response to the attack, Israeli forces fired shells across the border into southern Lebanon. The United Nations Interim Force in Lebanon (UNIFIL) confirmed that Israeli shelling had killed one of its peacekeepers from Spain.