O'Neal, a four-time NBA champion, grew up in Newark, and now co-owns and operates the CityPlex 12 theater near downtown.
O'Neal and Newark Mayor Cory Booker formally opened the renovated, expanded theater Friday afternoon. It includes an auditorium with a 47-foot-wide screen. It partially reopened in May after being closed for renovations.
The project added six screens and 20,000 feet to the theater on Springfield Ave.
O'Neal, the NBA's Most Valuable Player in 2000, joked that the theater shouldn't screen his movie 'Kazaam' if it wants to stay in business.
Funding for the $7 million project came from Goldman Sachs Urban Investment group and other development companies. The theater will hold a promotion called "30 Days of Shaqness" that offers discounts and promotions.