UPDATE 1-Houlihan buys Spanish advisory firm Fidentiis in European expansion

(Adds source on more acquisitions likely, focus in Europe on corporate finance)

MADRID, Nov 5 (Reuters) - Houlihan Lokey said on Tuesday it had bought Spanish mid-cap advisory firm Fidentiis Capital, without disclosing any financial details, as part of the U.S. investment bank’s European expansion strategy.

Fidentiis Capital, founded in 2015, specializes in Spain’s mid-cap market and has advised on dozens of transactions, such as the purchase of a majority stake in food company Pastas Gallo by private equity firm ProA Capital.

Its founders Carlos Parames and Juan Luis Munoz will work at Houlihan Lokey as managing directors for corporate finance for continental Europe, and the rest of their team will also be employed by the bank.

Houlihan Lokey, which now has more than 260 employees in Europe and is expanding its corporate finance division there, is looking for more acquisitions in the region, one financial sector source said.

In the past four years Houlihan Lokey, which deals with mergers and acquisitions, capital markets, and financial restructuring, has bought five firms in Europe. (Reporting by Emma Pinedo; editing by Andrei Khalip and Alexander Smith)