The militants belonging to the so-called Islamic State of Iraq and the Levant (ISIL) had infiltrated into the southern suburb of Dahiya under the guise of a business company.
Reports say the Saudi spy agency had purchased the business license to provide a cover for the secret ISIL agents.
The militants were operating in an area close to a Hezbollah stronghold.
Hezbollah forces had the group under surveillance for nearly one year and submitted the evidence to Lebanon’s army.
Lebanon has been embroiled in a string of deadly bomb attacks in recent months. Many view the violence as a spillover of the conflict in neighboring Syria.
Terrorist groups of the al-Nusra Front and the ISIL operating in Syria have claimed responsibility for a number of the bombings in Lebanon.