Hari Nam Kaur Khalsa, 61, who was born in Texas, was in her Batuco, Chile, home when four men entered and attempted to rob her at gunpoint. Khalsa was hit in the head with the weapon and the men tried to tie her up.
One man died after being shot five times, Emol.com reported. The other died of his injuries in the front yard, according to Dallas News.
Hearing the gunshots upstairs caused the two men downstairs to flee the premises.
'This is not a grandma as you can imagine,' Jose Nunez, who manages the condominium where she lives told local press.
'So don't be imagining a little grandma who killed two crooks with her cane.'
Prosecutor Osvaldo Soto said Friday the instructor is free because she acted in legitimate self-defense.
But he said that authorities have requested a security escort because 'we fear that she might suffer some sort of reprisal'.
A profile on the yoga academy website says the instructor was born in Texas where she studied martial arts and sociology and has been living in Chile since 1979.
She told local Radio Cooperativa that she prefers not to talk about the incident now.
The burglary happened at Khalsa's home in Batuca, which is about 20 miles north of the capital city of Santiago.