Your urge to breathe comes from the CO2 content of your blood; by breathing heavily you deplete your blood CO2, so your blood can absorb more from your metabolism before the acidity goes up enough that you feel compelled to breathe again.
It's a design flaw that your urge to breathe is connected to CO2 saturation and not oxygen saturation (the thing you really need); evolution has kind of assumed that the two will be inversely related. That bogus assumption can lead to the "shallow water blackout" scenario a few other sibling comments are describing.
Yes, you are getting a form of hyperventilation as the holding of the breath like that is resulting in exactly what you're referring to. Often times in SCUBA diving and firefighting with SCBA's we refer to this method as "skip breathing". Some people teach to do it in emergency situations when low on air to try and conserve air, but I don't believe there is any backing that it will aid in that, it may even make it worse.
However, the skip breathing can be helpful as it can be a decent way to relax. Most people say to do it to conserve air, but I think the real benefit is that you relax and therefore conserve air.
