The Sligo Rescue 118 helicopter and the Greencastle Coast Guard crews responded to a May Day call picked up by Malin Head Coast Guard on Monday afternoon.
The yacht was heading towards rocks, five miles north of Greencastle at the time.
The Greencastle boat team were able to get a line to the yacht and the RiB crew took over the tow back into Greencastle.
The helicopter crew were stood down as the rescue operation was completed.