This project is still in the works, so don’t go buying your tickets just yet.
From Neil Gaiman himself, from his Journal:
Question: Mr. Gaiman, i read that you had Stephin Merritt make some music for you or that you collaborated on something. Did you, and if so what was the project?
Answer: We did. It’s the CORALINE audio — it contains the Gothic Archies song “You are Not My Mother and I Want to Go Home”, background music by Stephin, and Stephin’s own recording of the Coraline Rat Song. You can hear a lot of it if you poke around over in the Coraline area of mousecircus.com.
We’re talking about doing a stage adaptation of Coraline, for which Stephen would make songs and music and so on…
You can buy the audio version here or the paperback version there. Like a dork, I own both.