In general the linker scripts' GROUP command works like a pair of command line options --start-group/--end-group. But there is a difference in the files look up algorithm.
The --start-group/--end-group commands use a trivial approach:
a) If the path has '-l' prefix, add 'lib' prefix and '.a'/'.so' suffix and search the path through library search directories.
b) Otherwise, use the path 'as-is'.
The GROUP command implements more compicated approach:
a) If the path has '-l' prefix, add 'lib' prefix and '.a'/'.so' suffix and search the path through library search directories.
b) If the path does not have '-l' prefix, and sysroot is configured, and the path starts with the / character, and the script being processed is located inside the sysroot, search the path under the sysroot. Otherwise, try to open the path in the current directory. If it is not found, search through library search directories.
https://www.sourceware.org/binutils/docs-2.24/ld/File-Commands.html
There is also a third thing, to support namespaces. You could refer to -l:mylib.a, the linker would search by not adding a prefix 'lib'.