Benn, 25, has gone from a complete novice in to a fully-fledged contender in 2021.
But Groves, who famously beat Eubank Jr on points in February 2018, believes the latter will be ‘a step too far’ for Benn.
He told iFL TV: “It’s one of them fights that’s going to be fascinating.
“It’s going to drum up a lot of interest because they’re two big names. Conor Benn is on a great run at the moment. He’s put in some great performances and the excitement around him has never been better. Eubank has been a big name for quite a while now.
“It’s bizarre. I’ve got to say it’s bizarre. They’re two totally different weights, totally different sizes.
“You would never think that this fight could get made before but I’m sure it has taken a long time to get made.
“I don’t know the ins and outs of the details yet, but I think it’s at some catchweight and there might be some rehydration clause and stuff like that which will ultimately play into speculation of how this fight is going to go, it’s going to be very difficult to predict in that respect.
“I mean I’ve got to be honest, I think it’s a step too far for Conor Benn. Definitely not the right fight for him right now because he’s on such a great run and he is two weight divisions smaller than Eubank. Eubank has competed at super-middleweight and held his own so I think it’s a bit bizarre.
“But I can kind of see why it’s happening. I can certainly see why Eubank was very keen for it. He was calling him out right at the start.”
Groves said he also sees similarities between Benn’s clash with Eubank and Kell Brook‘s defeat to Gennady Golovkin.
He continued: “Look at history. It doesn’t end well. Look, it would be a massive upset, and I think Conor Benn will be a huge underdog going into this fight.
“Slight difference being that there was a TV slot vacant when the Golovkin-Brook fight was made and obviously Eubank was supposed to fight Golovkin at middleweight but he couldn’t get the paperwork right and then Kell Brook jumped at the chance and went in.
“But similar to Conor Benn, Kell Brook was unbeaten, the height of his game. It was the wrong fight for him. He ended up getting a major injury and a serious setback.
“Hindsight is a wonderful thing, you can say ‘well that was obvious’, but I just think commercially it’s a great fight.
“It’ll raise awareness for both fighters for sure, as I’m sure the money will be reflective of that, but at the same time it definitely benefits Eubank Jr more than Conor Benn.
“Eubank Jr being a more seasoned fighter and a naturally more bigger fighter.”